Where Marginal Propensity to Consume Is Denoted as MPC,consider the Following

question 88

Essay

Where marginal propensity to consume is denoted as MPC,consider the following:

a. Assuming no crowding-out and MPC = 0.75, calculate the amount of government spending needed to bring this economy back to full-employment output.
b. Assuming no crowding-out and that $10 billion would be needed to bring this economy back to full-employment output, calculate the MPC in this economy.

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The study of human use of space and the effects that population density has on behavior, communication, and social interaction.

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