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An economy has a fixed price level, no imports ,and no income taxes. MPC is 0.80, and real GDP is $150 billion. How much is

An economy has a fixed price level, no imports ,and no income taxes. MPC

is 0.80, and real GDP is $150 billion. How much is the multiplier? Businesses

increase investment by $5 billion now. Calculate the change in real GDP.

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