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The Magnitude of an Economic Base Multiplier Depends Upon the Amount

Question 15

Multiple Choice

The magnitude of an economic base multiplier depends upon the amount of money that "leaks" out through expenditures outside of the city limits. The economic multiplier tends to be higher with each of the following EXCEPT:


A) A higher percentage of local household income is respent within the city.
B) The larger the city is.
C) The less isolated the city is from other cities.
D) The more tourism a city brings in.

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