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    Macroeconomics Study Set 41
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    Exam 7: Finance, Saving, and Investment
  5. Question
    The Idea That a Government Budget Deficit Decreases Investment Is
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The Idea That a Government Budget Deficit Decreases Investment Is

Question 140

Question 140

Multiple Choice

The idea that a government budget deficit decreases investment is called


A) the Ricardo-Barro effect.
B) the capital investment effect.
C) the crowding-out effect.
D) government dissaving.

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