Propensities & Multipliers

FOUNDATION FOR ECONOMIC EDUCATION

Prepare for the Economics Olympiad Competition

Propensities and multipliers describe how income is divided between consumption and saving (MPC and MPS) and how initial changes in spending lead to larger changes in overall output through the spending multiplier.

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Course curriculum

1. The Choice: Consume or Save
2. Average vs. Marginal Propensities
3. The Multiplier Effect in Action
4. Calculating the Spending Multiplier
5. The Indirect Route
6. Calculating the Tax Multiplier
7. Limits and Crowding Out
8. Article: John Maynard Keynes, R.I.P.
9. Advanced Practice

Additional Monetary and Fiscal Policy Modules

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Economics Olympiad Prep Modules

Use these modules to prepare for success in the Economics Olympiad competition.

FOUNDATION FOR ECONOMIC EDUCATION

Prepare for the Economics Olympiad Competition

Course curriculum

Content

Additional Monetary and Fiscal Policy Modules

Fiscal Tools & Automatic Stabilizers

Money

Money Market

Loanable Funds

Deficits, Debt, & Crowding Out

Financial Assets

Balance Sheets & Money Multiplier

Monetary Policy

Policy Interactions

Money Growth & Inflation

Economics Olympiad Prep Modules