Equations for C, I, G, and NX are given below. If the equilibrium level of GDP is $32,000, what is the marginal propensity to consume?
C = 5,000 + (MPC)Y
I = 1,500
G = 2,000
NX = -500
A) 0.67 B) 0.75 C) 0.8 D) 0.9
B
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Indicate whether the statement is true or false