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    Principles of Economics Study Set 1
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    Exam 21: Saving and Capital Formation
  5. Question
    Crowding Out Is the Tendency for Increased Government Deficits To
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Crowding Out Is the Tendency for Increased Government Deficits To

Question 1

Question 1

Multiple Choice

Crowding out is the tendency for increased government deficits to:


A) reduce investment spending.
B) increase investment spending.
C) reduce consumption spending.
D) increase consumption spending.

Correct Answer:

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