The multiple by which an initial change in aggregate spending will alter total expenditure after an infinite number of spending cycles is the
A)Business cycle.
B)GDP gap.
C)Velocity of money.
D)Multiplier.

Question

Quizplus · Accepted Answer

The multiplier is the multiple by which an initial change in aggregate spending will alter total expenditure after an infinite number of spending cycles.

The Multiple by Which an Initial Change in Aggregate Spending