If the marginal propensity to consume is 0.9, every $10 billion increase in taxes will cause a change in spending equal to
A. $100 billion.
B. $90 billion.
C. $9 billion.
D. -$10 billion.
E. -$90 billion.
If the marginal propensity to consume is 0.9, every $10 billion increase in taxes will cause a change in spending equal to
A. $100 billion.
B. $90 billion.
C. $9 billion.
D. -$10 billion.
E. -$90 billion.