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Mathematically, the value of the tax multiplier in terms of the marginal propensity to consume (MPC) is given by the formula: MPC 1. (MPC 1)

Mathematically, the value of the tax multiplier in terms of the marginal propensity to consume (MPC) is given by the formula:

MPC 1.

(MPC 1) / MPC.

1 / MPC.

1 [1 / (1 MPC)].

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