Where are the answer choices?
Answer:
B. Tracing a sequence of events resulting in a positive outcome
Explanation:
Answer B
Correct. Writers frequently use certain recognizable approaches to develop and organize the reasoning of their arguments. In the opening lines of the passage, the author employs such a method of development when he traces a sequence of events that he believes have culminated in a positive outcome: the First World War happened; the war provided a cautionary example; world leaders have been trying to prevent another outbreak of war; in the end, they succeed in devising the “greatest preventive measures ever adopted by nations.” A method of development provides an audience with the means to trace a writer’s reasoning in an argument. In this case, the author’s approach to organizing his argument suggests that he understands recent peace preservation efforts in terms of a temporal chain of events—one in which each event is linked to the next by a causal logic.
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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.
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