If the marginal propensity to consume is 0.9 in a private closed economy, a $20 billion decline in investment spending will decrease
A)GDP by $20 billion.
B)GDP by $100 billion.
C)saving by $20 billion.
D)consumption by $200 billion.

Question

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The Answer of If the marginal propensity to consume is 0.9 in a private closed economy, a $20 billion decline in investment spending will decrease
A)GDP by $20 billion.
B)GDP by $100 billion.
C)saving by $20 billion.
D)consumption by $200 billion.

If the Marginal Propensity to Consume Is 0