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Salsk061 [2.6K]
2 years ago
7

Are u gonna do it? do it please

Business
2 answers:
Vedmedyk [2.9K]2 years ago
8 0
Yeah I’ll do it! What you need?
alexandr1967 [171]2 years ago
3 0

dang we got ourselves a beager over here thanks for the free points ;)

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The short-run aggregate supply curve will decrease if:
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Define and explain each concept and give specific examples: a. Marginal Propensity to Consume and Marginal Propensity to Save (
siniylev [52]

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The marginal propensity to save (MPS) is the portion of each extra dollar of a household's income that's saved. MPC is the portion of each extra dollar of a household's income that is consumed or spent. Consumer behavior concerning saving or spending has a very significant impact on the economy as a whole.

Multiplier Effect

for every dollar the government spends, it will create a greater than one dollar change in GDP

Spending Multiplier

1 / 1-MPC or 1 / MPS; increase in spending .: + multiplier; decrease in spending .: - multiplier

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the fraction of any change in disposable income that is consumed; MPC = change in C / change in DI

Marginal Propensity to Save

the fraction of any change in disposable income that is saved; MPS = change is S / change in DI

3 0
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