In a closed economy without government intervention, the equilibrium level of income is $22 million, the full employment level of income is $25 million, and the deflationary gap is $1 million. What conclusion can be drawn from this information?
- AThe level of investment is $3 million.
- BThe marginal propensity to consume is 1/3.
- CThe marginal propensity to consume is 2/3.
- DThe value of the investment multiplier is 1.5.