explain how that works with a positive multiplier effect.
"the Costs of redistribution of capital" is what Causes the multiplier effect.
Someone else gets paid as well, not just the unemployed receiving unemployment compensation for simply being unemployed.
Overall, the amount of money available for a positive multiplier effect is lower, since there is a significant cost involved in redistributing the money.
If I make $100, I spend it and it is in turn respent several times, compounding the effect.
If the gov't takes $100, that money leaves the local economy. At best, $75 returns to the local economy in the form of monetary benefits to the poor. Yes, it will be spent and respent, but since there is less to begin with there is less for the positive multiplier effect to compound.