
Crowding out refers to a(n)
A) increase in the consumption of domestic goods and services at the expense of imports.
B) increase in the consumption of imports at the expense of domestic goods and services.
C) decrease in exports because of higher government spending.
D) decrease in consumption or investment spending caused by increased government spending.
E) decrease in government spending caused by higher private-sector spending.
Correct Answer:
Verified
Q25: Expansionary fiscal policy can crowd out private-sector
Q26: For the executive branch of government to
Q27: If the government increases spending by $100
Q28: Figure 13.2 Q29: The federal budget deficit as a percentage Q31: Budget deficits tend to grow during recessions Q32: An automatic stabilizer is a(n) Q33: Fiscal policy in the United States is Q34: Discretionary fiscal policy is defined as the Q35: An increase in government spending of $100
![]()
A) change in
A)
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents