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2.4.4 The multiplier

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Question 25

The table below shows the changes in key macroeconomic variables for an open economy over a fiscal year.

Economic VariableChange (£ billion)
National Income+400
Savings+30
Tax Revenues+50
Spending on Imports+20

Using this data, which one of the following represents the value of the multiplier for this economy?

0.250.250.25

4.04.04.0

5.05.05.0

13.3313.3313.33

2.4.4 The multiplier Questions

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