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b. (5) To restore the economy to its long-run equilibrium, the government has decided to cut its spending on goods and services by $20 million
b. (5) To restore the economy to its long-run equilibrium, the government has decided to cut its spending on goods and services by $20 million and increase its transfer payments by $30 million. If the marginal propensity to consume is 0.67, what will be the final effect on the real GDP of these two actions
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