Business, 10.06.2021 14:00 kevin2920

Marginal propensity to consume is 0.8; the marginal propensity to import is 0,2; the tax rate is 12,5%. Suppose there is a recessionary gap in the economy equal to 100 billion dollars. By how much should the government increase its expenditure to close the gap?

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Marginal propensity to consume is 0.8; the marginal propensity to import is 0,2; the tax rate is 12,...

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