The Multiplier Effect

question 110

Multiple Choice

The multiplier effect

• A) increases the MPC.
• B) generates instability in autonomous expenditure.
• C) magnifies small changes in spending into larger changes in real GDP.
• D) promotes stability of the general price level.

---

Definitions:

Newborn

An infant from birth to a few weeks old, characterized by rapid physical and neurological development during the initial stages of life outside the womb.

Genetic Disorder

A disease or condition caused by an abnormality in an individual's DNA, which can be inherited from parents or result from a new mutation.

Down Syndrome

A chromosome 21 trisomy that results in a condition marked by intellectual and developmental delays due to the complete or partial addition of a third chromosome 21.

Mother's Age

A demographic factor referring to the age of a mother at the time of her children's birth, often examined in studies for its effects on offspring.