Bond-financed expansionary fiscal policy is least likely to be effective when the private sector is reluctant to spend or invest.
Correct Answer:
Verified
Q233: A tax rebate will be effective in
Q234: Fiscal policy is most effective when people
Q235: If an economy is 2% below its
Q236: The crowding out effect reduces the effectiveness
Q237: An effective way to combat real shocks
Q239: If consumers believe a tax rebate is
Q240: The multiplier effect is the increase in
Q241: Automatic stabilizers help fiscal policy automatically keep
Q242: The majority of the federal budget is
Q243: President Bush favored increases in government spending
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