Opening the economy to trade tends to increase the multiplier because an increase in expenditure leads to more exports. Please explain. True or False

Macroeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506756
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter18: Gaining From International Trade
Section: Chapter Questions
Problem 16CQ
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Opening the economy to trade tends to increase the multiplier because an increase in expenditure leads to more exports.

 

Please explain. True or False 

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