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its due to different tax interest and import ratess

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Types of multiplier?

tree multiplier CSA (carry select adder) multiplier shift & add multiplier Higher radix multiplier


Explain the working of foreign trade multiplier and bringout its global implications?

The foreign trade multiplier is also known as the export multiplier. This happens in an open economy, and brings change in exports and change income. The global implications are that countries can trade with each other and raise their own income.


What is the difference between the multiplier and the accelerator?

the multiplier principle implies that investment increases output whereas the acceleration principle implies that increases in output will themselves induce increases in investment.


How do developing countries differ from developed countries?

the jobs and services are the same


Difference between static and dynamic multiplier?

The concept of static multiplier implies that changes in investment causes change in income instantaneously. It means that there is no time lag between the change in investment and the change in income. It implies that the moment a rupee is spent on investment project, society's income increases by a multiple. Let us explain the concept of the dynamic multiplier also known as period and sequence multiplier. The concept of dynamic multiplier recognizes the fact that the overall change in income as a result of the change in investment is not instantaneous. There is a gradual process by which income change as a result of change in investment or other determinants of income. The process of change in income involves a time lag. The multiplier process works through the process of income generation and consumption expenditure. The dynamic multiplier takes into account the dynamic process of the change in income and the change in consumption at different stages due to change in investment. The dynamic multiplier is essentially a stage-by stage computation of the change in income resulting from the change in investment till the full effect of the multiplier is realized

Related Questions

Difference between static multiplier dynamic multiplier?

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What is the relationship between the monetary multiplier and reserve ratios?

Money Multiplier is inverse of Reserve Requirement. That is, m = 1/R


Difference between serial and parallel multiplier?

telidu nana...


How did attitudes towards imperialism differ between the people who were founding colonies and those whose countries were colonized?

A


Types of multiplier?

tree multiplier CSA (carry select adder) multiplier shift & add multiplier Higher radix multiplier


Explain the working of foreign trade multiplier and bringout its global implications?

The foreign trade multiplier is also known as the export multiplier. This happens in an open economy, and brings change in exports and change income. The global implications are that countries can trade with each other and raise their own income.


Is a seesaw a force multiplier or a speed multiplier?

force multiplier


What is super multiplier?

super multiplier refers to interaction of the multiplier and accelerator.


Metric Capacity of a paint can?

That depends entirely on the size of the can ! Remember - this is an international site, and the size may differ between countries.


Is a bottle opener a speed or force multiplier?

Force Multiplier


What is the difference between the multiplier and the accelerator?

the multiplier principle implies that investment increases output whereas the acceleration principle implies that increases in output will themselves induce increases in investment.


Why tax multiplier is always be smaller than govt spending multiplier?

If the full multiplier for G (i.e. ignoring crowding out effects) is = change in G/Multiplier Then the tax multiplier is = change in T x marginal propensity to consume/multiplier since the mpc is between 0 and 1 the tax multiplier is less. Intuitively it is not difficult to see why, the change tax enters spending decisions through consumption and consumption is dependant on the mpc. Whereas as G affects spending decisions directly - it is a injection into the economy that does not have to work through some indirect source to have an effect on the economy.