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QUESTION

Let's say that our government increases government spending by $243 billion, and it also increases taxes by $243 billion. If the MPS is .13, what

Let's say that our government increases government spending by $243 billion, and it also increases taxes by $243 billion. If the MPS is .13, what will be the change in total spending (GDP)? 

$486 billion

-$365 billion

$71 billion

$243 billion

$113 billion

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