1.  
2. Then answer the questions that follow.
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4.  

https://broadwayeconomics.com/the-moneygoround-sunny-afternoon/ 

above is the link for what you need

Below are the questions to answer after reviewing the link

Discussion Questions for "The Moneygoround"

1.) Define the multiplier effect. What factors is the size of the multiplier dependent upon?

2.) How is the multiplier effect illustrated in "The Moneygoround"?

3.) If consumption increases by sixty cents for each additional dollar of income, what is the MPC (Marginal Propensity to Consume)?

4.) Using the MPC value you solved for in #3, calculate the spending multiplier. What does this value tell us?

Answer rating: 100% (QA)

Discussion Questions for The Moneygoround Define the multiplier effect ... View the full answer