The crowding-out effect refers toa- the inflation rate to, Ask an Expert

Economics

The crowding-out effect refers to:

A- The inflation rate to rise when the unemployment rate is low.

B- Higher future taxes accompanying budget deficits to reduce private consumption.

C- Increases in private savings to reduce interest rates and, thereby, crowd-out government

D- Higher interest rates and reduced private spending that result from financing federal budget deficits.

View complete question

Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M91224747

Have any Question?Write your Review or question?

Related Questions in Microeconomics

A in 1994 the marginal cost of producing the power mac was

a) In 1994, the marginal cost of producing the Power Mac was about $1,500 per unit, and a rough estimate of the monthly demand curve was: P = 4,500 - .15Q. At the time, what was Apple's optimal output and pricing policy? ...

Question a selfless person approaches jones and smith with

Question: A selfless person approaches Jones and Smith with a $100 bill and offers to sell it to the highest bidder, but both the winning and losing bidders must pay her their bids. So if Jones bids $2 and Smith bids $1 ...

Question 1 what is the presumed purpose of all legislation

Question: 1. What is the presumed purpose of all legislation according to the economic theory of legislation? 2. How do the concepts of "concentrated" and "diffuse" interests determine whether a group represents its inte ...

Question the european union is home to more than 500

Question: The European Union is home to more than 500 million (mostly well-heeled) consumers, making it one of the largest and most attractive markets worldwide. As firms contemplate selling goods in the EU, they conduct ...

Question as purchases of high-tech equipment become an

Question: As purchases of high-tech equipment become an increasingly important part of total capital spending, and hence total GDP, do you think fluctuations in that category will dominate cyclical fluctuations in the ov ...

Question assume that a firms analysis of its balance

Question: Assume that a firm's analysis of its balance condition shows the following: P_L = exist10, P_K = exist100, MP_L = 30, and MP_K = 290. As a decision maker in this firm, what would you do in the short term to imp ...

Question intel a hip factory at their in build a 500000000

Question: Intel a hip factory at their in build a $500,000,000 for They are expanding their business, and they want to new 2017. Additional information is given in the table below. Calculate the weighted index for the ne ...

Question if the nominal annual interest rate is 12

Question: If the nominal annual interest rate is 12% compounded monthly, what is the effective annual interest rate? The response must be typed, single spaced, must be in times new roman font (size 12) and must follow th ...

Question a what are the principal differences between

Question: (A) What are the principal differences between government purchases of goods and services and transfer payments? (B) What are the most common kinds of transfer payments at the Federal level? At the state and lo ...

Question 1 conside rthe general effect of the discount rate

Question: 1. Conside rthe general effect of the discount rate on the dynamic efficient allocation of a depletable resource across time. Suppose we have two versions of the two-period model discussed in Chapter 6. The two ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Microeconomics Expert