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25-04-2024
Business

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You are expected to show the relevant steps of your calculations.
For an economy with a tax rate of 15%, the following expenditure functions are given;
C = 150 + 0.8YD
G = 750
I = 520
NX = 100 - 0.18Y
a) What is the marginal propensity to spend out of national income for this economy ?

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