Question #48130

Suppose the government increases its purchases by Rs16 billion. If the multiplier effect exceeds the crowding out effect, then ?


Options:

Answer: Suppose the government increases its purchases by Rs16 billion. If the multiplier effect exceeds the crowding out effect, then The aggregate demand curve shifts to the right by more than Rs 16 billion.

Question Screenshot

Question Screenshot
For best sharing results, download the image first and then attach it to your social media post.

Test Your Knowledge

Want to practice more questions like this? Take a quiz in this category!

Take a Quiz

Share This Question