If a $200 billion increase in investment spending creates $200 billion of new income in the first round of the multiplier process and $160 billion in the second round, the multiplier in the economy is
A)4.
B)5.
C)3.33.
D)2.5.

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The Answer of If a $200 billion increase in investment spending creates $200 billion of new income in the first round of the multiplier process and $160 billion in the second round, the multiplier in the economy is
A)4.
B)5.
C)3.33.
D)2.5.

If a $200 Billion Increase in Investment Spending Creates $200