### Research report for the department of commerce

##### Reference no: EM131082102

Assume that the MPC=0.6 for every consumer in the economy. You have just been paid \$20000 to produce a research report for the Department of Commerce. How this action by the government will affect your spending plans? What would be the total effect on the economy of this action? (Assume that t=0, m=0). What would be the total effect if t=0.2 and m=0.08.

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