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When Disposable Income Increases from $7 Trillion to $7

Question 211

Multiple Choice

When disposable income increases from $7 trillion to $7.5 trillion, consumption expenditure increase from $6.5 trillion to $6.9 trillion. The MPS is equal to


A) 0.75.
B) 0.76.
C) 0.8.
D) 0.2.

Correct Answer:

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