Keynes' description of it is derived from the idea that one person's spending becomes another person's income.
One description of it is the expansion of the money supply that results from a country's member banks lending out more money than they can take in. Keynes' description of it is derived from the idea that one person's spending becomes another person's income. Thus there is a greater final change in income and spending after a small change in aggregate demand. This became the cornerstone of fiscal policy that encouraged government deficit spending. FTP, identify this economic concept that simply states that initial changes in one area of the economy tend to accumulate to a greater final change.
One description of it is the expansion of the money supply that results from a country's member banks lending out more money than they can take in.
multiplier effect