Suppose government spending rises by $120 billion. It follows that if private expenditures
A) rise by $120 billion, complete crowding out exists.
B) fall by $100 billion, incomplete crowding out exists.
C) remain unchanged, complete crowding out exists.
D) rise by more than $120 billion, complete crowding out exists.
E) b and c
B
Economics
You might also like to view...
A share of Apple stock has a price of $430 and gives $43 of Apple profit to its owner. The interest rate on this share is
A) 10 percent. B) $430. C) 15.4 percent D) $43.
Economics
Refer to Table 4-6. The equations above describe the demand and supply for Aunt Maud's Premium Hand Lotion. The equilibrium price and quantity for Aunt Maud's lotion are $20 and 30 thousand units. What is the value of consumer surplus?
A) $300 thousand B) $450 thousand C) $900 thousand D) $1,500 thousand
Economics