An increase in the marginal propensity to consume leads to an increase in the Keynesian multiplier.
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Q169: Suppose that MPC = 0.8 and MPI
Q170: The Keynesian multiplier will be higher if
A)the
Q171: The Keynesian multiplier is the ratio of
Q172: Suppose that MPC = 0.5 and MPI
Q173: Which of the following is true about
Q175: The permanent income model implies that
A)a permanent
Q176: Suppose that MPC = 0.7 and MPI
Q177: The Keynesian multiplier relies on the assumption
Q178: The forward-looking model predicts that the marginal
Q179: According to the permanent income model, the
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