Refer to the above figure. If the economy is currently operating at point C, then there is

The Budget of the United States Government is officially submitted by: a. the President to Congress and contains spending and revenue proposals for the upcoming fiscal year. b. Congress to the President and contains spending and revenue proposals for the upcoming fiscal year. c. the President to Congress and contains proposals for tax revenues

d. Congress to the President and contains proposals for tax revenues. e. the President to Congress and is reviewed by the Supreme Court.

The crowding-out effect of expansionary fiscal policy suggests that:

A. government spending increases at the expense of private investment. B. imports replace domestic production. C. private investment increases at the expense of government spending. D. saving increases at the expense of investment.