When crowding out occurs, higher government spending results in higher interest rates, which in turn results in:
a. higher inflation.
b. less consumption and investment.
c. a larger debt ceiling.
d. more tax revenues.
b
Economics
You might also like to view...
An exogenous increase in the country's trade balance shifts the
a. IS schedule to the left. b. IS schedule to the right. c. LM schedule to the left. d. LM schedule to the right.
Economics
A major disadvantage of the corporate form of business is limited liability
a. True b. False
Economics