In Keynesian economic theory, a factor that quantifies the change in total income as compared to the injection of capital deposits or investments which originally fueled the growth. It is usually used as a measurement of the effects of government spending on income, and it can be calculated as one divided by the marginal propensity to save.

Keynesian economic theory contends, among other things, that any injection into the economy via investment capital, government spending or the like will result in a proportional increase in overall income at a national level. The basic premise of this theory is that increased spending will have carry-through effects which result in even greater aggregate spending over time. The multiplier itself is an attempt to measure the size of those "carry-through effects".

Investment dictionary. . 2012.

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  • multiplier — [ myltiplije ] v. <conjug. : 7> • 1120, var. molteplier, monteplier; lat. multiplicare; cf. multiple I ♦ V. intr. Vx 1 ♦ Rare Augmenter en nombre. « les conséquences multiplient à proportion » (Pascal). 2 ♦ Augmenter en nombre par la… …   Encyclopédie Universelle

  • multiplier — Multiplier. v. a. Augmenter le nombre de quelque chose. C est une maxime de la Philosophie qu il ne faut pas multiplier les estres sans necessité. miroirs qui multiplient les objets. Jesus Christ multiplia les cinq pains. ce Chimiste pretend… …   Dictionnaire de l'Académie française

  • Multiplier — Mul ti*pli er, n. [Cf. F. multiplier. Cf. {Multiplicator}.] 1. One who, or that which, multiplies or increases number. [1913 Webster] 2. (Math.) The number by which another number (the multiplicand) is multiplied. See the Note under… …   The Collaborative International Dictionary of English

  • multiplier — 1. a number applied by multiplication to a multiplicand to produce a figure for damages in cases of future loss, which will provide an appropriate annuity equivalent to the loss but which will itself be exhausted at the time of the notional death …   Law dictionary

  • multiplier — (n.) late 15c., agent noun from MULTIPLY (Cf. multiply) …   Etymology dictionary

  • multiplier — Multiplier, act. acut. Multiplicare, Augere, Auctare, Propagare. Les ennemis se multiplient de jour en jour, Accessionem faciunt hostes, vel Crescunt in dies singulos …   Thresor de la langue françoyse

  • multiplier — ► NOUN 1) a quantity by which a given number (the multiplicand) is to be multiplied. 2) a device for increasing the intensity of an electric current, force, etc. to a measurable level …   English terms dictionary

  • multiplier — [mul′tə plī΄ər] n. 1. a person or thing that multiplies or increases 2. Econ. the ratio between the total increase in income resulting from the stimulating effect of an initial expenditure and the initial expenditure itself 3. Math. the number by …   English World dictionary

  • Multiplier — Multiplication  Cet article concerne l opération arithmétique. Pour les autres significations, voir Multiplication (homonymie). La multiplication de 4 par 3 donne le même résultat que la mul …   Wikipédia en Français

  • Multiplier — The term multiplier may refer to: In electrical engineering: Binary multiplier, a digital circuit to perform rapid multiplication of two numbers in binary representation Analog multiplier, a device that multiplies two analog signals Frequency… …   Wikipedia

  • multiplier — (mul ti pli é), je multipliais, nous multipliions, vous multipliiez ; que je multiplie, que nous multipliions, que vous multipliiez, v. a. 1°   Terme d arithmétique. Répéter un nombre autant de fois qu il y a d unités dans un autre nombre donné,… …   Dictionnaire de la Langue Française d'Émile Littré

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