| Effect on real GDP | $50 billion rise in government purchases of goods and services | $50 billion rise in government transfer payments |
| First round | $50 billion | $25 billion |
| Second round | $25 billion | $12.5 billion |
| Third round | $12.5 billion | $6.25 billion |
| • | • | • |
| • | • | • |
| • | • | • |
| Eventual effect | $100 billion | $50 billion |