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Multiplier

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Economics Note on Multiplier, created by nialloriordan on 04/12/2013.
nialloriordan
Note by nialloriordan, updated more than 1 year ago
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Created by nialloriordan almost 11 years ago
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Screen_Shot_2013-12-04_at_23.42.24 (image/png)
Screen_Shot_2013-12-04_at_23.43.14 (image/png)

or

Multiplier=

MPC = 1 – MPS 

MPS= 1 – MPC

MPT = change in tax/change in income

MPM = change in imports/change in income

Increase in National Income = Multiplier x Injection

Savings = Income - Consumption

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