How Do You Calculate Multiplier With MPC?
How Do You Calculate Multiplier With MPC? The Spending Multiplier can be calculated from the MPC or the MPS. Multiplier = 1/1 – MPC or 1/MPS When the MPC 0.75 The multiplier is? If the MPC is 0.75, the Keynesian government spending multiplier will be 4/3; that is, an increase of $ 300 billion in