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The weights typically used in the center-of-gravity method are
Real GDP
The measure of a country's gross domestic product adjusted for inflation, reflecting the real value of goods and services produced.
Marginal Propensity
The ratio of change in consumption to the change in income, indicating how much of additional income will be spent or saved.
Discretionary Expansionary
Refers to fiscal or monetary policy actions initiated by a government or central bank to stimulate economic growth.
National Saving
The total amount of savings generated within a country, equal to the sum of private and public savings, often used for investment.
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