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2.4.4 The multiplier

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Question 13

The government announces a £360 million investment to upgrade the digital infrastructure and roll out ultra-fast fibre broadband across rural communities in Cornwall. Economists estimate that the regional multiplier for this infrastructure spending is 1.75. Assuming other things remain equal, what will be the total increase in national income (GDP) resulting from this investment?

£205.7205.7205.7 million

£630630630 million

£270270270 million

£360360360 million

2.4.4 The multiplier Questions

  1. A Level
  2. /Economics
  3. /2.4.4 The multiplier