Economics · Macroeconomics
If C = a + b(Y - T), where T = tY and I = I, then the investment multiplier is given by:
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 111 - b(1 + t)
- 211 - bt
- 311 - b(1 - t)✓
- 41b(1 - t)
Correct answer
11 - b(1 - t)
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