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  3. Study Set
    Economics Theory and Practice
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    Exam 8: Money Creation, Monetary Theory, and Monetary Policy
  5. Question
    Crowding Out Occurs When Government Borrowing Forces Up the Interest
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Crowding Out Occurs When Government Borrowing Forces Up the Interest

Question 170

Question 170

True/False

Crowding out occurs when government borrowing forces up the interest rate and discourages households and businesses from borrowing.

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