What is the multiplier effect?
The mutliplier effect is how much does an intial injection affect GDP. So for example if the Government spent £1bn on transport projects and it increased GDP by £2bn then the mutliplier effect would be 2.
CM
The mutliplier effect is how much does an intial injection affect GDP. So for example if the Government spent £1bn on transport projects and it increased GDP by £2bn then the mutliplier effect would be 2.
