The Multiplier (Grade 12 NSC Matric Economics): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
What does the multiplier effect describe?
What does the multiplier effect describe?
Small spending change creates larger output
Which formula correctly calculates the multiplier using mpc?
Which formula correctly calculates the multiplier using mpc?
What is the relationship between mpc and mps?
What is the relationship between mpc and mps?
always
What happens to the multiplier when mpc increases?
What happens to the multiplier when mpc increases?
The multiplier becomes bigger
If mpc is 0.6, what is the multiplier value?
If mpc is 0.6, what is the multiplier value?
2.5
Which are the three leakages in a four sector economy?
Which are the three leakages in a four sector economy?
mps, mrt, and mpm
How do leakages affect the multiplier?
How do leakages affect the multiplier?
More leakages make multiplier smaller
Which economist developed the multiplier theory?
Which economist developed the multiplier theory?
John Keynes
If = R25,000m and = R10,000m, what is M?
If = R25,000m and = R10,000m, what is M?
2.5
Does the multiplier work for spending decreases?
Does the multiplier work for spending decreases?
Yes, it creates multiplied negative effects