A Multiplier of 10 Means That a $100 Billion Increase

question 143

Multiple Choice

A multiplier of 10 means that a $100 billion increase in investment will

• A)increase equilibrium real GDP by $100 billion.
• B)decrease equilibrium real GDP by $1000 billion.
• C)increase equilibrium real GDP by $10 billion.
• D)increase equilibrium real GDP by $1000 billion.

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Definitions:

Master Gland

Another term for the pituitary gland, due to its role in regulating critical processes in the body by producing hormones that control other glands.

Organ of Corti

The sensory organ located within the cochlea of the inner ear, responsible for the transduction of sound vibrations into electrical signals.

Pituitary Gland

A small, pea-sized gland located at the base of the brain, crucial in controlling growth, metabolism, and reproductive function.

Endocrine Glands

Glands that secrete hormones directly into the bloodstream to regulate various body functions.