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andrezito [222]
3 years ago
9

Describe the multiplier effect

History
1 answer:
vfiekz [6]3 years ago
3 0

in macroeconomics, a multiplier is a factor of proportionality that measures how much an endogenous variable changes in response to a change in some exogenous variable. for example, suppose variable x changes by 1 unit, which causes another variable y to change by M units. then the multiplier is M

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