f an increase in government spending is accompanied by a reduction in spending by firms and households, economists call this: a) Fiscal policy b) Crowding out c) The accelerator d) Hysteresis
f an increase in government spending is accompanied by a reduction in spending by firms and households, economists call this: a) Fiscal policy b) Crowding out c) The accelerator d) Hysteresis
Chapter15: Fiscal Policy
Section: Chapter Questions
Problem 7SQP
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If an increase in government spending is accompanied by a reduction in spending by firms and households, economists call this:
a) Fiscal policy
b) Crowding out
c) The accelerator
d) Hysteresis
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