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Q. |
## If the tax function is T= t0+t1y where t1 equals 1/3,and if the marginal propensity to consume out of disposable income is 3/4 , then the change in GDP oer unit change into t0 (∆Y/∆ t0) will be |

A. | -1 |

B. | +1 |

C. | -1.5 |

D. | -2 |

Answer» C. -1.5 |

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