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Komok [63]
1 year ago
10

The m2 money multiplier is ___________ the m1 multiplier. a. substantially smaller than b. not much different than c. substantia

lly larger than d. twice as large as
Business
1 answer:
Alinara [238K]1 year ago
7 0

The m2 money multiplier is substantially larger than the m1 multiplier.

A multiplier is simply a factor that boosts or increases the base value of something else. For example, doubling the multiplier doubles the base. On the other hand, a multiplier of 0.5x halves the base value. There are different multipliers in finance and economics.

The word multiplier means a factor that amplifies or increases the base value of another. For example, in the multiplication formula 3 × 4 = 12, a multiplier of 3 increases the value of 4 to 12. A multiplier is the amount of new income generated by adding additional income. The marginal propensity to consume is the proportion of money that is spent

Learn more about multipliers here

brainly.com/question/13923879

#SPJ4

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