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If the Marginal Propensity to Consume Is 0

question 204

Multiple Choice

If the marginal propensity to consume is 0.6; full employment income is $500; and the current equilibrium is $750, a(n) _____ gap exists, such that a(n) _____ in spending equal to _____ is needed to close the gap.


Definitions:

Coniferous Evergreen

Trees that have needles or scales for leaves, remain green throughout the year, and produce cones.

Relative Humidity

The amount of moisture in the air compared to what the air can hold at that temperature, expressed as a percentage.

Vegetation

The plants and trees collectively found in a particular area, contributing to the habitat and ecosystem.

Lunar Radiation

Electromagnetic radiation emitted by the moon, primarily observed as reflected sunlight.

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