The crowding-out effect refers to:
A) higher interest rates and reduced private spending that results from financing federal budget deficits.
B) higher future taxes accompanying budget deficits to reduce private consumption.
C) the inflation rate to rise when the unemployment rate is low.
D) increases in private savings to reduce interest rates and, thereby, crowd-out government
Correct Answer:
Verified
Q27: "Crowding out" is the theory that an
Q28: "Crowding out" refers to federal government deficits
Q29: Which of the following would be true
Q30: Which of the following statements about crowding
Q31: Supply-siders argue that:
A) reductions in government spending
Q33: Supply-siders feel that high levels of government
Q34: If the crowding-out effect is strong, how
Q35: Most of the U.S. national debt is
Q36: When crowding out occurs, higher government spending
Q37: Crowding out occurs when the federal government:
A)
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