The supply curve for loans to high-risk borrowers is _________ the supply curve for loans to low-risk borrowers.

When (if at all) can the crowding-out effect be prevented?

A) when the Fed decreases the money supply to accommodate the expansionary fiscal policy B) when the real money supply is held constant C) when the real balance effect is working D) when the Fed allows the real money supply to increase sufficiently to keep the interest rate from rising

The Obama administration believed that transfer payments to the unemployed would have a larger impact on aggregate demand than tax cuts

a. True b. False Indicate whether the statement is true or false