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Explain keynes theory of the consumption function

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Explain Keynes' theory of the consumption function. What implications does the value of the marginal propensity to consume have for the relationship between the amount of savings and the level of income? Why, in the Keynesian system, might the level of equilibrium GDP fail to coincide with the level of GDP that ensures full employment in the labor market?Explain the concept of the marginal efficiency of capital (use a numerical example if required).

Reference no: EM131424220

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