In Preparing Their Estimates of the Economic Impact of a New

In preparing their estimates of the economic impact of a new football stadium in the City of Regina, proponents argued that building the stadium would create twice as much economic activity in the city as the stadium was projected to cost (essentially arguing that the local multiplier was 2) .This is likely to be an overestimate of the multiplier because

A) construction projects generate no additional economic activity.
B) Regina's marginal propensity to consume is too great.
C) imports and income taxes will reduce the impact of new spending.
D) the price level in the local economy is likely to be insensitive to a major construction project.
E) the marginal propensity to save in Saskatchewan is much higher than in other parts of the country.