ECONOMICS (CBSE/UGC NET)

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ECONOMICS

AGGREGATE DEMAND

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
If MPC = 0.75, the original equilibrium level of income = $300 bn and then investment falls by $20bn then the new equilibrium level of income =
A
$380bn
B
$280bn
C
$220bn
D
$205bn
Explanation: 
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