Could the multiplier be written as 1 divided by the marginal propensity to save (MPS)?

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Exploring Economics

ISBN: 9781439040249

5th Edition

Authors: Robert L Sexton

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Question Posted: Feb 07, 2013 05:53 AM

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Could the multiplier be written as 1 divided by the marginal propensity to save (MPS)?

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Yes The spending multiplier is written as 11MPC We ...View the full answer

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