Multiple Choice
All of the following are true statements about the multiplier, except
A) the multiplier rises as the MPC rises.
B) the smaller the MPS, the larger the multiplier.
C) the multiplier is a value between zero and one.
D) the multiplier effect occurs when autonomous expenditure changes.
E) the multiplier effect is caused by induced consumption.
Correct Answer:
Verified
Correct Answer:
Verified
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