If German imports of French products are very important in determining the volume of German exports to France, we would expect the actual German spending multiplier to be larger than 1/(marginal propensity to save + marginal propensity to import).

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If German imports of French products are significant, this means that as German spending increases, their imports from France will also increase, boosting the French economy and potentially increasing demand for German exports. This implies that the actual German spending multiplier (the total impact of an initial increase in spending on output) would be larger than what we would expect based solely on the marginal propensity to save and marginal propensity to import.

If German Imports of French Products Are Very Important in Determining