Crowding out would not occur if the
A) IS curve is horizontal.
B) IS curve is vertical.
C) LM curve is horizontal.
D) LM curve is vertical
Correct Answer:
Verified
Q75: Complete crowding out occurs when the
A) IS
Q76: The flatter is the LM curve
A) the
Q77: "Even if there is a liquidity trap
Q78: The steeper the LM curve
A) the more
Q79: Starting from equilibrium and using the ISLM
Q81: With a decrease in government expenditure we
A)
Q83: When the LM curve is horizontal,
A) fiscal
Q84: A higher price level causes us to
A)
Q85: When the LM curve is vertical,
A) fiscal
Q99: With a rise in government expenditure we
A)
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