The formula to determine the multiplier(M) is:
M = 1 / (1 – MPC)
where:
MPC=Marginal propensity to consume
What Is a Multiplier?
A multiplier is a broad term in economics that refers to an economic factor that, when increased or changed, causes increases or changes in many other related economic variables. In terms of GDP, the multiplier effect causes total output gains to be greater than the change in spending that caused it.
Typically, the term multiplier refers to the relationship between government spending and total national income. The deposit multiplier is another multiplier used to explain fractional reserve banking.
Often the multiplier formula is considered to be too simple because it ignores some real-world complications. The Reason is:
Option A. The formula ignores the impact of an increase in GDP on consumption.
To know more about multiplier, visit: brainly.com/question/15883095
#SPJ13
Answer:
Approximately 22,000 metric tonnes of fish per year
Explanation:
From the graph,
Rate of decline :
(metric tonnes of fish in 1965 - metric tonnes of fish in 1995) / range of years
(700,000 - 40,000)metric tonnes ÷ (1995 - 1965)
660,000 metric tonnes ÷ 30 years
660,000 / 30
= 22,000 metric tonnes per year
Approximately 22,000 metric tonnes of fish per year
Response:
I actually rarely report inappropriate contents here in Brainly but thanks for the points!
Other:
Brainliest? Thanks!
Answer:
it’s C
Explanation:
refusing to display warmth and emotion in adulthood