(Answered) You should be able to explain the crowding out effect and

Economics

You should be able to explain the "crowding out" effect and how this effect might be the result of some specific stimulus to the economy such as a rapid increase in federal government expenditures (assuming the economy is at full employment). In the current U.S. economy, could you imagine a set of conditions where increased federal government spending actually caused private investment spending to rise (not fall)? Explain with an example, how this "crowding in" might occur.

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