"Crowding in" refers to federal government deficits:
a. which reduce future rates of economic growth.
b. used for public infrastructure will offset any decline in business investment.
c. All of the answers are correct.
d. which reduce private business and consumption spending.
b
You might also like to view...
Which of the following correctly describes the automatic mechanism through which the economy adjusts to long-run equilibrium?
A) the rightward shift of the aggregate demand curve that occurs during a recession B) the leftward shift of the short-run aggregate supply curve that occurs after a recession C) the rightward shift of the short-run aggregate supply curve that occurs after a recession D) the leftward shift of the aggregate demand curve that occurs after a recession
XYZ Corporation operates in perfectly competitive input markets and employs labor, capital,land in its production process. What three conditions must be met for the firm to be maximizing profit?
What will be an ideal response?
Neuroeconomics is a new field of economics motivated by the speculation that studying the human neural system can lead to:
A. a true mathematical model of utility theory. B. a unified theory of decision making. C. better laboratory experiments. D. tenure.
What would be the impact of an increase in foreign income on the net export function?
a. The net export function would shift upward. b. The net export function would shift downward. c. The slope of the net export function would increase. d. The slope of the net export function would decrease. e. There would be a movement up along the net export function.