For Any Value of the MPC (Marginal Propensity to Consume),the

question 188

Multiple Choice

For any value of the MPC (marginal propensity to consume) ,the formula for the expenditure multiplier is

• A) 1/(1 - MPC)
• B) 1/MPC
• C) 1/(MPC - 1)
• D) (1 + MPC)/MPC
• E) 1/(1 + MPC)

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