Are the values of the multipliers in the short run and the long run larger or smaller

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Are the values of the multipliers in the short run and the long run larger or smaller than 2?

Suppose that the economy is at full employment, the price level is 100, and the multiplier is 2. Investment increases by $100 billion.

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Microeconomics Canada In The Global Environment

ISBN: 9780321931184

9th Edition

Authors: Robin Bade, Michael Parkin

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Question Posted: Dec 13, 2022 09:06 AM

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Are the values of the multipliers in the short run and the long run larger or smaller

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The multiplier refers to the effect that a change in one economic variable such as investment has on ...View the full answer

Microeconomics Canada In The Global Environment

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