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hey its time for a key concept that you have to know its called the spending multiplier all right lets say you go to school and as youre walking unless you find a hundred dollar bill on the ground you look around everyones gone its just you in hundred bucks and you take it theres only two things you can do you spend it or save it thats it thats all how much did that hundred dollars would you spend and how much would you save and that leads to a conversation about the marginal propensity to consume and something called marginal Pepsi to say the marginal propensity consume is the percentage how much youd actually spend if I gave you hundred dollars how much would you spend so lets say for example in your marginal penny to consume is 0.8 or you would spend $80 if I gave you hundred dollars right so how much is your marginal propensity to save well that must be point two alright its whats left over is how much you say okay now that you got that youre ready for something call