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MMLU-Pro / 7628 / The crowding-out effect from government borrowing is best described as

Problem

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question

The crowding-out effect from government borrowing is best described as

category

economics

options

  1. the rightward shift in AD in response to the decreasing interest rates from contractionary fiscal policy.
  2. the leftward shift in AD in response to the rising interest rates from expansionary fiscal policy.
  3. the effect of the President increasing the money supply which decreases real interest rates and increases AD.
  4. the effect on the economy of hearing the chairperson of the central bank say that he or she believes that the economy is in a recession.

src

ori_mmlu-high_school_macroeconomics

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