The Multiplier Effect Refers to the Series of

question 134

Multiple Choice

The multiplier effect refers to the series of

• A)autonomous increases in consumption spending that result from an initial increase in induced expenditures.
• B)induced increases in consumption spending that result from an initial increase in autonomous expenditures.
• C)autonomous increases in investment spending that result from an initial increase in induced expenditures.
• D)induced increases in investment spending that result from an initial increase in autonomous expenditures.

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Definitions:

Longitudinal Design

A research design that involves repeated observations of the same variables or groups over a period of time, allowing for the study of changes and development.

Prospective Design

A research design that follows participants forward over a period of time to observe future outcomes.

Cross-sectional Design

A research design that analyzes data from a population, or a representative subset, at a specific point in time to examine relationships between variables.

Observational Study

A research method involving the collection of data without interference with the subjects’ natural environment.