Multiple Choice
The multiplier effect
A) and the crowding-out effect both amplify the effects of an increase in government expenditures.
B) and the crowding-out effect both diminish the effects of an increase in government expenditures.
C) diminishes the effects of an increase in government expenditures,while the crowding-out effect amplifies the effects.
D) amplifies the effects of an increase in government expenditures,while the crowding-out effect diminishes the effects.
Correct Answer:
Verified
Correct Answer:
Verified
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