Crowding out of government spending refers to the notion that: A) when the government increases spending,...

 

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Crowding out of government spending refers to the notion that: A) when the government increases spending, the interest rate declines and investment increases B) when the government increases spending, the interest rate increases and investment decreases C) D) when the government increases spending, the interest rate increases and investment increases it doesn't affect the economy Crowding out of government spending refers to the notion that: A) when the government increases spending, the interest rate declines and investment increases B) when the government increases spending, the interest rate increases and investment decreases C) D) when the government increases spending, the interest rate increases and investment increases it doesn't affect the economy

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Answer B when the government increases spending the in... View the full answer