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The spending multiplier is defined as: O 1 / (1 - marginal propensity to save). the ratio of the change in equilibrium real GDP to
The spending multiplier is defined as: O 1 / (1 - marginal propensity to save). the ratio of the change in equilibrium real GDP to the initial change in spending. O 1 / (marginal propensity to consume). O the change in initial spending divided by the change in personal income
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Macroeconomics Principles and Applications
Authors: Robert e. hall, marc Lieberman
5th edition
1111397465, 9781439038970, 1439038988, 978-1111397463, 143903897X, 9781439038987, 978-1133265238
