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Help Save & Exit In a private closed economy where MPC =0.80 , if consumers reduce their spending by $20 billion and firms cut investments

Help\ Save & Exit\ In a private closed economy where MPC

=0.80

, if consumers reduce their spending by

$20

billion and firms cut investments by

$5

billion, then equilibrium GDP will decrease by\ Multiple Choice\

$5

billion.\

$20

billion.\

$125

billion.\

$100

billion.

image text in transcribed
In a private closed economy where MPC =0.80, if consumers reduce their spending by $20 billion and firms cut investments by $5 billion, then equilibrium GDP will decrease by Multiple Choice $5 billion. $20 billion. $125 billion. $100 billion

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