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A Major Internet Service Provider Decides to Spend $70 Million

Question 166

Multiple Choice

A major Internet service provider decides to spend $70 million to purchase new server equipment.If the marginal propensity to consume is 0.8, the eventual change in GDP will be


A) $40 million.
B) $50 million.
C) $90 million.
D) $350 million.
E) $850 million.

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