The long-run opportunity cost of government spending's crowding out of private investment
A) equals about 10 percent of GDP
B) is lower interest rates and hence lower interest income for U.S.resource owners
C) results from the corresponding expansionary gap
D) results from the corresponding contractionary gap
E) would be greater if the government's expenditures were devoted to increasing retirement benefits rather than to educating the work force
Correct Answer:
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Q107: The opportunity cost of deficit spending is
Q142: A fuller picture of government's role in
Q143: If the fraction of U.S.government securities held
Q144: A possible budget reform is
A)a quadrennial budget
B)breaking
Q146: When crowding out occurs,
A)private spending replaces public
Q148: Among the following cases,the opportunity cost of
Q149: Increases in the fraction of national debt
Q150: A major foreign holder of U.S.Treasury securities
Q151: If a budget deficit is the result
Q152: A possible budget reform is
A)a quadrennial budget
B)breaking
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