Multiple Choice
The crowding-out effect tends to be stronger when the economy
A) has a lot of excess productive capacity.
B) is at, or close to, full employment.
C) has a very small net exports or foreign sector.
D) is a very open economy with a large foreign sector.Topic: Problems, Criticisms, and Complications of Implementing Fiscal Policy
Correct Answer:
Verified
Correct Answer:
Verified
Q154: Contractionary fiscal policy is so named because
Q155: A budget deficit causes the government to
Q156: Suppose the price level is fixed, the
Q157: The public debt is the<br>A)amount of U.S.paper
Q160: Tax increases and government spending cuts by
Q161: When current government expenditures equal current tax
Q162: In 2015, about percent of the U.S.public
Q163: There is general agreement among economists that
Q164: Which of the following fiscal policy changes
Q294: One of the potential consequences of the