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2. If disposable income rises by $100 billion and personal consumption expenditure rises by $65 billion, what is the marginal propensity to consume? Group of
2. If disposable income rises by $100 billion and personal consumption expenditure rises by $65 billion, what is the marginal propensity to consume?
Group of answer choices
a. 0.60.
b. 0.65.
c. 0.70.
d. 0.75.
e. Impossible to calculate from these figures.
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