Abstract: An induction type tranducer is formed to be a substrate having a multilayer structure. The substrate has a multilayer structure including six layers, a first layer through sixth layer. An exciting coil is formed at the first layer. Detecting coils are formed at the second layer and the third layer. A wiring layer is formed at the fifth layer at the opposite side of the scale from the core layer. A signal processing IC is formed at the sixth layer. A magnetic shield layer, which insulates magnetic flux from the exciting coil, is formed at the fourth layer between the exciting coil and the signal processing IC.