The Student Room Group
Reply 1
Can any economists help?
Reply 2
found this of various sites:

Multiplier Effect: the 'snowballing' of economic activity. e.g. If new jobs are created, people who take them have money to spend in the shops, which means that more shop workers are needed. The shop workers pay their taxes and spend their new-found money, creating yet more jobs in industries as diverse as transport and education. OR process whereby one change sets in motion a sequence of events that result in decline or growth

Cumulative Causation: the process by which one region of a country becomes increasingly the centre of economic activity OR the process by which economic activity leading to prosperity and increasing economic development tends to concentrate in an area with an initial advantage, draining investment and skilled labour from the peripheral area (part of the backwash effect).

backwash:the effect where by an area (periphery) is drained of investment and skilled labour an area with an initial advantage (core)

hope that helps :smile:

go to http://www.geographyinthenews.rgs.org/glossary/ for some more good examples.