A Report Focused on Recommendations Should

question 34

Multiple Choice

A report focused on recommendations should

• A)first establish or verify the need for action.
• B)not include conclusions.
• C)avoid mentioning any potential risks.
• D)outline costs, but not in detail.

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Definitions:

Multiplier Value

A factor that quantifies the impact of a change in some economic activity on the rest of the economy.

MPC (Marginal Propensity to Consume)

A measure of the change in consumption resulting from a change in income; specifically, the proportion of additional income that is spent on consumption.

Multiplier

A factor by which an initial change in spending will alter total economic output by a greater amount.

Multiplier Effect

The proportionate increase in final income that results from an injection of spending (initial increase in spending), typically influencing the level of national income and output.