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What does the phrase multiplier effect mean?


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What does the phrase multiplier effect mean?
in General Knowledge by Diamond (55.5k points) | 285 views

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Is an effect in economics in which an increase in spending produces an increase in national/regional income and consumption greater than the initial increase.
by Diamond (55.5k points)
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The multiplier effect is the proportional amount of increase or decrease in final income that results from an injection or withdrawal of spending,

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