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Assignment 5 1 Homework Marginal Propensity To Consume And The Multipliera Study In Italy By Jappelli

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2. Now, let’s look at the effect of difference in MPC.
a. Fill out the following table (your answer for all Italians should come from question 1)
Effect of Difference in MPC
Marginal propensity to consume
Multiplier on government
spending
All Italians
.52
Group 1
3
Group 2
65Economics