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Author Question: According to the crowding-out effect, a budget deficit will lead to: a. reduced investment spending ... (Read 58 times)

rosent76

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on: Jun 30, 2018
According to the crowding-out effect, a budget deficit will lead to:
 a. reduced investment spending and a reduction in long-term economic growth.
  b. reduced investment spending and an increase in long-term economic growth.
  c. increased investment spending and a reduction in long-term economic growth.
  d. increased investment spending and an increase in long-term economic growth.

Question 2

Assume that at the current market price of 4 per unit of a good, you are willing and able to buy 20 units. Last year at a price of 4 per unit, you would have purchased 30 units. What is most likely to have happened over the last year?
 a. Demand has increased
  b. Demand has decreased
  c. Supply has increased
  d. Supply has decreased
  e. Quantity supplied has decreased


chem1s3

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Reply #1 on: Jun 30, 2018
Answer to Question 1

a

Answer to Question 2

b


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