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Sounds right. I believe it's called multiplicative stacking (if it added 20% it would be additive stacking).
I usually point it at Shields, ranger's Piercing Arrow or Carrots/Garlic.
https://en.wikipedia.org/wiki/Percentage_point
Wikipedia gives the example that if the smoking rate decreases from 50% to 40%, then we can either say it decreased by 20% or that it decreased by 10 percentage points.
So if a chance for an event to occur was 35% and it then changed to 42%, we can say it either increased 20% or it increased by 7 percentage points.
It would definitely be helpful if more games used terminology of flat, multiplicative and "percentage points" etc.
Could you explain how the Flute's rate reduction works?
It is stated as "Triggers 10% faster for each Activated item"
However, it's neither strictly multiplicative nor flat. It's somewhere close to multiplicative, but slightly worse.
E.g. It's not 0.9^activations, it's close to 0.9^activations, but worse.
The base CD is 5s.
With 5 items the CD is 3.33s. That is close to a 33% reduction so maybe someone can figure out why.
multiplicative: 5*0.9^5=2.95 (or 5*.9*.9*.9*.9*.9)
flat: 5*0.5=2.5
With 6 items the CD is 3.13s.
So its 150% with 5 items (5/1.5 ~ 3.33) and 160% with 6 items (5/1.6 ~3.1)