An economy is initially at full employment, but a decrease in planned investment spending (a component of

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An economy is initially at full employment, but a decrease in planned investment spending (a component of autonomous expenditure) pushes the economy into recession. Assume that the mpc of this economy is 0.75 and that the multiplier is

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Principles Of Macroeconomics

ISBN: 9780415568685

2nd Brief Edition

Authors: Robert Frank, Ben Bernanke

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