These conditions describe the US economy as it faces yet another round of government spending cuts that would have negative multiplier effects on GDP and job growth.
If the latter have HSR connections, they will experience a major wealth drain with negative multiplier effects.
The desire to have access to energy has created negative multiplier effects, namely climate change, non-equilibrium of the ecosystem, pollution of the environment and anxiety among nations.
According to Khalid (2006), the potential effects on Malaysia are: 1) a reduction in ship traffic in the Malacca Strait, 2) a reduction in ship calls at local ports, 3) a decrease in container throughput at the local ports, 4) negative multiplier effects on the ancillary sectors, and 5) changes in trade and economic development patterns.
Each technology revolution unleashed a series of unintended consequences (most positive, some negative) creating a multiplier effect on society's productivity and standards of living.
It said: "Staff research suggests that fiscal cutbacks had larger than expected negative short-term multiplier effects on output, which may explain some of the output falls".
In fact, "... IMF staff research suggests that fiscal cutbacks had larger than-expected negative short-term multiplier effects on output, which may explain part of the growth shortfalls," said the report.
This is just another name for one specific kind of fiscal multiplier effect, the investment multiplier.
In fact, the multiplier effect can even be negative during economic expansions when central banks maintain zero-interest rates and households expect taxes to rise when interest rates do.
The existence of what economists call the "substitution effect" (in terms of the stadium game, leisure dollars will be spent one way or another whether a stadium exists or not), the dubiousness of the Keynesian multiplier, the offsetting impact of a negative multiplier, the inefficiency of government, and the negatives of higher taxes all argue against government sports subsidies.
