The crowding-out effect is the tendency for
A) higher government budget deficits to increase total savings.
B) lower private saving to decrease investment.
C) higher government budget deficits to decrease investment.
D) higher private savings to decrease government budget surpluses.
E) lower private saving to increase the budget deficit.
C
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Why do some firms choose not to file for a patent and instead try to keep the results of their research a trade secret?
A) because firms must disclose information about the product or process being patented in a patent application B) because a patent only gives the inventor exclusive rights to a product or process for 5 years C) because trade secrets provide the same exclusive legal rights to a product as a patent does D) because trade secrets are never divulged
The relationship of dead capital to inefficient production is
A) without clear ownership it is not possible to sell or transfer a resource so that it can be used efficiently. B) that outdated equipment will lead to inefficient production. C) nonexistent since the capital is already dead. D) that when the dead capital is replaced by more technologically advanced capital, economic growth occurs.