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Explain the Logic of the Multiplier Effect

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Explain the logic of the multiplier effect.


Definitions:

Nike

A global corporation specializing in the design, development, and worldwide marketing of footwear, apparel, equipment, and accessory products.

Adidas

A global sports footwear and apparel manufacturer known for its innovation and association with athletics and leisure wear.

Financial Markets

Marketplaces where individuals and entities can trade financial securities, commodities, and other fungible items of value at low transaction costs and at prices that reflect supply and demand.

Market Prices

The current price at which an asset or service can be bought or sold in a competitive marketplace.

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