multiplication effect
[ˌmʌltɪplɪˈkeɪʃən ɪˈfɛkt]
nounpl: multiplication effects
efeito multiplicador
1. An economic or social phenomenon where an initial change or investment produces a larger total effect on the economy or society through subsequent rounds of spending and activity
The government's stimulus package created a multiplication effect that boosted the entire economy.
O pacote de estímulo do governo criou um efeito multiplicador que impulsionou toda a economia.
2. In mathematics and physics, the process by which a small initial quantity is amplified through successive multiplications
The multiplication effect of compound interest demonstrates how wealth can grow exponentially over time.
O efeito multiplicador dos juros compostos demonstra como a riqueza pode crescer exponencialmente ao longo do tempo.
3. A cascading effect where one action or event triggers multiple related consequences
Social media has created a multiplication effect for spreading information rapidly.
As redes sociais criaram um efeito multiplicador para a disseminação rápida de informações.
The multiplication effect is a fundamental concept in Keynesian economics, widely discussed in Brazilian and Portuguese business schools, government policy-making, and economic stimulus debates. It's particularly relevant in discussions of public investment, stimulus packages, and economic development policies in both Brazil and Portugal.
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