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Govt purchases increase by $87b and the MPC = .89. By how much will RGDP eventually increase? (round answer to two decimal places)

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter19: The Macroeconomic Perspective

Section: Chapter Questions

Problem 11RQ: What are the main components of measuring GDP with what is demanded?

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Unemployment and Cost of Unemployment

Unemployment is the state of being unemployed, even when an individual is actively seeking work opportunities. The unemployment rate refers to the percentage of the workforce that is currently unemployed.

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Govt purchases increase by $87b and the MPC = .89. By how much will RGDP eventually increase? (round answer to two decimal places)

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