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The method continues, even though because the financial agents purchase merely element of the earnings, the fresh number get smaller in the for each and every bullet. If the dirt settles the level of the newest earnings produced is actually several times the original escalation in using–which, title the new paying multiplier. The fresh dining table lower than gives a good example of just how this might performs which have a rise in bodies investing. Note that the brand new multiplier performs exactly the same way in reverse which have a decrease in spending.
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