=+2. However, on the right side of the table, the $10 billion reduction in transfers has no

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=+2. However, on the right side of the table, the $10 billion reduction in transfers has no effect on real GDP in round 1 but does lower YDby $10 billion, resulting in a decrease in consumer spending of $6 billion in round 2.

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Economics

ISBN: 9781319066604

5th Edition

Authors: Robin Krugman, Paul Wells

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