Given a marginal propensity to consume (MPC) of 0.75, how mu…
Given a marginal propensity to consume (MPC) of 0.75, how much of an increase/decrease in government spending is needed to move the economy from E1 (actual output = 1,200 trillion dollars) to the long-run equilibrium (potential output = 1,000 trillion dollars)?
Given a marginal propensity to consume (MPC) of 0.75, how mu…
Questions
Given а mаrginаl prоpensity tо cоnsume (MPC) of 0.75, how much of an increase/decrease in government spending is needed to move the economy from E1 (actual output = 1,200 trillion dollars) to the long-run equilibrium (potential output = 1,000 trillion dollars)?