The Multiplier Is the Amount by Which Is Multiplied to Determine

question 459

Multiple Choice

The multiplier is the amount by which is multiplied to determine _.

• A) a change in autonomous expenditure; the change in equilibrium expenditure
• B) autonomous expenditure; real GDP
• C) induced expenditure; real GDP
• D) a change in induced expenditure; the change in equilibrium expenditure

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Definitions:

Available-for-sale Securities

Financial assets not classified as held-to-maturity or trading securities, which can be sold in response to needs for liquidity or changes in interest rates, among other reasons.

Recorded

The act of documenting financial transactions in the accounting records.

Controlling Interest

Ownership of a sufficient portion of a company's stock to influence or control its activities and decisions.

Valuation Allowance Account

An account used to offset the value of deferred tax assets due to the likelihood that they will not be realized.