Which is generally TRUE of the empirical evidence on the crowding-out of individual contributions by government spending?

Question

Quizplus · Accepted Answer

Empirical studies generally find that the crowd-out effect is smaller than what experimental studies suggest. This can be due to the fact that experiments are conducted in controlled settings with artificial incentives and may not reflect real-world behavior accurately. Empirical studies, on the other hand, look at the actual behavior of individuals and organizations in response to changes in government spending and find that the crowd-out effect is small.

Which Is Generally TRUE of the Empirical Evidence on the Crowding-Out