Business, 07.03.2020 05:14 madisonstearly210
Suppose the marginal propensity to consume is 0.7 and the government votes to increase taxes by $1.5 billion. Round to the nearest tenth if necessary. Assume the tax rate and the marginal propensity to import are 0. Calculate the tax multiplier. tax multiplier:-2.3 Calculate the resulting change in the equilibrium quantity of real GDP demanded. S 3.5 billion
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