Mathematically, the value of the tax multiplier in terms of the marginal propensity to consume (MPC) is given by the formula:

a. (MPC - 1)/MPC.
b. 1-[1/(1 - MPC)].
c. 1/MPC.
d. MPC - 1.


b

Economics

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Economics

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Economics

According to classical economists, the relationship between the amount of funds households plan to save and the interest rate is

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Economics