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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?

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a. 0.60.

b. 0.65.

c. 0.70.

d. 0.75.

e. Impossible to calculate from these figures.

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