Describe effect of changing savings rate on the multiplier

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In an article saying that Americans are not saving as much asthey were 20 years ago. They claim 20 years ago the average savingswas 20 percent of disposable income and predicted that it woulddrop to 5% in less than 5 years.
calculate and describe the effect of changing the savingsrate on the multiplier.

Reference no: EM13243316

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