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Card 1 of 23

What does the multiplier measure?

A

The ratio of the eventual change in real national income to the initial change in autonomous expenditure.

B

The ratio of the eventual change in nominal national income to the initial change in autonomous expenditure.

C

The ratio of the eventual change in real national income to the total change in consumption.

D

The ratio of the initial change in real national income to the eventual change in autonomous expenditure.

Card 1 of 23

9.1.1 the multiplier process Flashcards

  1. Intl A Level
  2. /Economics
  3. /9.1.1 the multiplier process

23 flashcards on CIE Intl A Level Economics 9.1.1 the multiplier process: the key terms and definitions you need to recall.

Flashcards