If the government has a budget deficit, crowding- out might occur. Crowding- out leads to all of the following EXCEPT
A) a higher real interest rate.
B) decreased private saving.
C) a smaller capital stock in the future.
D) a decreased quantity of investment.
Correct Answer:
Verified
Q74: Australian investment is financed from
A)private saving and
Q75: Q76: If our exports are $2.2 billion and Q77: If the nominal interest rate is 8 Q78: Q80: When the real interest rate rises Q81: The capital stock increases whenever 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
A)there is
A)gross investment exceeds
