Suppose the government increases spending Which of the following-08877
Suppose the government increases spending. Which of the following would be part of the crowding out effect?
This multiple choice question (MCQ) is related to the book/course vu eco401 Economics. It can also be found in vu eco401 Final Term - Quiz No.12.
Suppose the government increases spending. Which of the following would be part of the crowding out effect?
Interest rate rises and investment falls
Interest rate rises and velocity of circulation also rises
Higher interest rates encourage the central bank to increase the money supply
Interest rate falls and exports rise