The investment or government spending multiplier

Reference no: EM13700840

Does an increase in the size of the marginal propensity to consume have the effect of increasing, decreasing, or not changing the size of autonomous spending multipliers (that is, the investment or government spending multiplier)?

1) increases the size of the multipliers

2) decreases the size of the multipliers

3) does not affect the size of the multipliers

Reference no: EM13700840

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