The Multiplier Principle Explains How

question 18

Multiple Choice

The multiplier principle explains how

• A)any change in the economy will be magnified.
• B)$1 invested will increase GDP by more than $1.
• C)expenditures and incomes increase as investment increases.
• D)All of the above are correct.

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Definitions:

Evolution

The method through which various types of life are believed to have evolved and branched out from ancestral forms throughout Earth's history.

Radioisotopes

Unstable isotopes that spontaneously emit radiation; also called radioactive isotopes.

Half-Life

The time required for half the atoms of a radioactive substance to decay or for a drug or other substance to lose half its pharmacologic, physiologic, or radiologic activity.

Potassium-40

A radioactive isotope of potassium used in dating geological materials, as it decays into argon-40 over a known period of time.