If the economy is on the steep portion of the AS curve and government spending increases, ________ crowds out ________.
A. planned investment; consumption
B. government spending; planned investment
C. planned investment; government spending
D. consumption; planned investment
Answer: B
You might also like to view...
________ in the United States ________ in most European countries
A) GDP per hour; is greater than GDP per hour B) Average weekly hours; are greater than average weekly hours C) The Okun Gap; is equal to the Okun Gap D) The Lucas Wedge; is greater than the Lucas Wedge E) Both A and B are true.
Private saving + Government saving equals ________
A) Taxes + Investment B) Output minus Consumption C) Government capital + human capital D) Investment + Net exports
How do balance of trade, balance on current account, and balance of payments differ?
What will be an ideal response?
When a price ceiling that has an impact is imposed, it has the effect of
A. decreasing quantity supplied and increasing quantity demanded. B. decreasing both quantity supplied and quantity demanded. C. increasing quantity supplied and decreasing quantity demanded. D. increasing both quantity supplied and quantity demanded.