-Refer to the above graph.The crowding-out effect would be illustrated by a:
A) shift from curve A to curve B leading to a decrease in investment.
B) shift from curve B to curve A leading to a decrease in interest rates.
C) movement from point 1 to point 2 on curve A leading to a decrease in investment.
D) movement from point 2 to point 1 on curve A leading to a decrease in investment.
Correct Answer:
Verified
Q168: Q189: A major reason that a public debt Q190: The current popular view about the fiscal Q204: The real burden of an increase in Q205: Crowding out is a decrease in private Q207: An increase in the public debt will: Q208: A public debt which is owed to Q210: The "crowding-out effect" suggests that: Q213: The crowding-out effect of borrowing to finance Q214: Which is an important problem associated with
A)increase
A)the economy's productive
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