An Increase in the Value of the Multiplier Can Be

question 409

Multiple Choice

An increase in the value of the multiplier can be caused by

• A) a decrease in the marginal propensity to consume.
• B) an increase in the marginal propensity to import.
• C) an increase in autonomous consumption expenditure.
• D) an increase in the marginal propensity to consume.

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Definitions:

Opium

A narcotic drug obtained from the opium poppy, used historically in medicine for pain relief and sedation.

Stimulants

Substances that elevate mood, increase feelings of well-being, and enhance energy and alertness.

Depressants

A class of drugs that reduce the functioning of the nervous system and can lead to decreased arousal or stimulation in individuals.

Narcotics

A class of depressant drugs derived from the opium poppy that produce both pain-relieving and calming effects.