Metric Unit Calculator
Economics calculator

Tax Multiplier

Calculate tax multiplier using the tax multiplier formula.

Tax multiplier: -
Calculation explained

How this result was calculated

The formula, your substituted values, and the evaluated result are shown below.

Reference: Formulae and Tables, State Examinations Commission (2014), page 30.
Recommended resources

Products that may help

Recommended

Udemy Education

Udemy is an AI-powered skills acceleration platform transforming how companies and individuals across the world build the capabilities needed to thrive in a rapidly evolving workplace.

View offerAffiliate link — we may earn a commission at no extra cost to you.

How the Tax Multiplier works

This calculator applies the formula given in Formulae and Tables, State Examinations Commission (2014), page 30. Enter values in consistent units.

Formula and inputs

-mpc ÷ (1-mpc)

Inputs: Marginal propensity to consume.

Using the result

The result is rounded to 4 decimal places. Check units, assumptions and significant figures before using the answer.

Keep exploring
Cross Elasticity of DemandCalculate cross elasticity using the cross elasticity of demand formula.Gross Domestic Product ExpenditureCalculate gdp using the gross domestic product expenditure formula.Income Elasticity of DemandCalculate income elasticity using the income elasticity of demand formula.Price Elasticity of DemandCalculate price elasticity using the price elasticity of demand formula.Simple Spending MultiplierCalculate multiplier using the simple spending multiplier formula.