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Author Question: Related to the Economics in Practiceon p. 476: According to the "paradox of thrift," as individuals ... (Read 45 times)

JMatthes

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Related to the 
Economics in Practice on p. 476: According to the "paradox of thrift," as individuals decrease their saving


◦ income in the economy decreases because there is less money available for firms to invest.
◦ income in the economy decreases because interest rates will rise and the economy will contract.
◦ income in the economy will remain constant because the change in consumption equals the change in saving.
◦ income in the economy will rise because the increased consumption that results from decreased saving causes the economy to expand.


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Marked as best answer by JMatthes on Apr 19, 2019

raili21

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