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At a Level of Output Equal to the Economy's Potential,the

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At a level of output equal to the economy's potential,the simple spending multiplier in the long run equals one.


Definitions:

Synaptic Gaps

Small spaces between neurons where neurotransmitters are released to transmit signals from one neuron to another.

Neurotransmitter Receptor Sites

Specific locations on the surface of neurons that are designed to receive and respond to chemical messengers known as neurotransmitters.

Axon Terminals

The distal terminations of the branches of an axon, responsible for releasing neurotransmitters into the synapse to communicate with other neurons.

Depolarization

A decrease in the electrical charge difference across a cell's plasma membrane, often leading to the initiation of an action potential in neurons.

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