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Figure 4-6 -In Figure 4-6 Above,with IS₀ Shifting to IS₁ Against the to IS₁

Question 84

Multiple Choice

Figure 4-6
Figure 4-6 -In Figure 4-6 above,with IS₀ shifting to IS₁ against the upward-sloping LM curve,crowding-out is the result that A) income stays at YO₃. B) income rises to Y₁ instead of to Y₂. C) income rises to Y₁ instead of staying at YO₃. D) income rises to Y₂ instead of to Y₁.
-In Figure 4-6 above,with IS₀ shifting to IS₁ against the upward-sloping LM curve,crowding-out is the result that

A) income stays at YO₃.
B) income rises to Y₁ instead of to Y₂.
C) income rises to Y₁ instead of staying at YO₃.
D) income rises to Y₂ instead of to Y₁.

Correct Answer: