The Keynesian Multiplier Measures

question 181

Multiple Choice

The Keynesian multiplier measures

• A)both the short-run and long-run impacts of an initial change in spending on real GDP.
• B)the long-run impact of an initial change in spending on real GDP.
• C)the short-run impact of an initial change in spending on real GDP.
• D)the long-run impact of a change in real GDP on consumption.
• E)the short-run impact of a change in real GDP on total spending.

---

Definitions:

Synaptic Vesicles

Small sacs in neurons that store neurotransmitters, which are released into the synaptic cleft during neural communication.

Negatively Charged

An electrical condition where an object has gained electrons, resulting in a surplus of negative charges.

Ions

Atoms or molecules that have gained or lost one or more electrons, thus acquiring an electrical charge.

Action Potential

The release of the neural impulse, consisting of a reversal of the electrical charge within the axon.