(Answered) What is crowding outhow can an increase in the government

Economics

What is crowding out?

How can an increase in the government budget deficit lead to a change in the trade deficit?

Explain how the government can adjust its behavior in response to a decrease in tax revenue.

How does the debt-to-GDP ratio relate to the real interest rate? Explain.

How might budget deficits affect long-term economic growth?

Explain Ricardian equivalence.

Why are many economists skeptical about the validity of Ricardian equivalence?

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