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% What is the eventual effect on real GDP if the government increases its purchases of goods and services by $50,000? Assume the marginal propensity

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% What is the eventual effect on real GDP if the government increases its purchases of goods and services by $50,000? Assume the marginal propensity to consume (MPC) is 0.75. What is the eventual effect on real GDP if the government, instead of changing its spending, increases transfers by $50,000? Assume the MPC has not changed

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