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    Economics of Development
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    Exam 14: Foreign Aid
  5. Question
    A Study on the Flypaper Effect in Indonesia Revealed That
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A Study on the Flypaper Effect in Indonesia Revealed That

Question 5

Question 5

Multiple Choice

A study on the flypaper effect in Indonesia revealed that aid:


A) crowded out government spending.
B) crowded in government spending.
C) was neutral to government spending.
D) was harmful to government spending.

Correct Answer:

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