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"The term $\left(c_{0}+IQ+G-c_{1}T\right)$ is that part of the demand for goods that does not depend on output here ($c_{1}$ is mpc)." Can someone please explain how will you interpret government spending (mpc $\times$ taxes). What does actually this part of the equation tell?

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    $\begingroup$ Not all of us are familiar with the terms used. Can you please be more specific about what $c_0$, $I$, $Q$, etc. are? $\endgroup$ – Art Jun 28 at 3:24
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    $\begingroup$ I think you forgot to add the relevant equation that you are referring to. $\endgroup$ – Regio Jun 28 at 6:44

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