The Multiplier Effect Tends to

question 276

Multiple Choice

The multiplier effect tends to

• A)decrease upswings and downswings in business activity.
• B)promote stability of the general price level.
• C)magnify small changes in spending into much larger changes in output and income.
• D)reduce the MPC.

Identify the factors that influence the choice of spans of control within an organization.

Distinguish between line and staff units in organizational structures.

Understand the role of unity of command and hierarchy of authority in organizational structures.

Identify different types of organizational charts and their significance.

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Definitions:

Colonists

describes individuals who settle in territories often claimed or controlled by another country, usually in pursuit of economic opportunities and new lives, such as the settlers of the American continents by European powers.

Committees of Observation

Local groups established in the American colonies to enforce the boycotts imposed by the Continental Congress and to resist British policies leading up to the American Revolution.

Tactics

Specific actions, strategies, or maneuvers used to achieve a particular objective, often within a larger plan or strategy.

Effectiveness

The degree to which something is successful in producing a desired result or outcome, often used to evaluate strategies, tools, policies, or processes.