If the marginal propensity to save (MPS) in a closed economy is 0.02 and the marginal propensity to tax (MPT) is 0.06, what is the value of the multiplier?
A) 6
B) 10.5
C) 8.5
D) 12.5

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The Answer of If the marginal propensity to save (MPS) in a closed economy is 0.02 and the marginal propensity to tax (MPT) is 0.06, what is the value of the multiplier?
A) 6
B) 10.5
C) 8.5
D) 12.5

If the Marginal Propensity to Save (MPS) in a Closed