Suppose the government has a budget deficit of $2 billion. If the Ricardo<\/p>
-<\/p>
Barro effect is correct,<\/p>
then how much crowding out of investment occurs?<\/p>
A)<\/p>
more than $2 billion<\/p>
B)<\/p>
exactly equal to $2 billion dollars<\/p>
C)<\/p>
some crowding out occurs, but less than $2 billion<\/p>
D)<\/p>
No crowding out occurs and investment does not change.<\/p>
E)<\/p>
No crowding out occurs because investment increases by $2 billion<\/p>", "transcribed_text": "", "related_book": { "title": "Information Systems Today Managing in the Digital World", "isbn": "1292215976, 132971216, 9781292215976, 978-0132971218", "edition": "6th edition", "authors": "Joseph Valacich, Christoph Schneider", "cover_image": "https:\/\/dsd5zvtm8ll6.cloudfront.net\/si.question.images\/book_images\/367.jpg", "uri": "\/textbooks\/information-systems-today-managing-in-the-digital-world-6th-edition-367", "see_more_uri": "" }, "free_related_book": { "isbn": "B07BX9Q38R", "uri": "\/textbooks\/favofit-head-and-wristbands-for-women-men-gym-workout-and-sports-b07bx9q38r-105267", "name": "Favofit Head And Wristbands For Women Men Gym Workout And Sports", "edition": "" }, "question_posted": "2024-06-13 05:19:18", "see_more_questions_link": "\/study-help\/questions\/business-finance-2024-September-21", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/what-are-some-of-the-potential-downsides-for-firms-that", "description": "What are some of the potential downsides for firms that engage in a war for talent?", "stars": 3.5 }, { "url": "\/study-help\/introductory-chemistry-atoms-first\/the-nuclear-process-which-constantly-produces-14-c-in-the-1197802", "description": "The nuclear process which constantly produces 14 C in the Earths atmosphere is illustrated below, along with the mechanism of its incorporation into the food chain. What is the major assumption upon...", "stars": 3 }, { "url": "\/study-help\/psychology\/1-what-are-the-origins-of-the-daubert-standard-and-1982406", "description": "1. What are the origins of the Daubert Standard and how do these apply to the forensic psychologist expert witness?", "stars": 3 }, { "url": "\/a-shareholders-group-in-lodging-a-protest-claimed-that-the", "description": "A shareholders group, in lodging a protest, claimed that the mean tenure for a chief exective office (CEO) was at least nine years. A survey of companies reported in The Wall Street Journal found a...", "stars": 3 }, { "url": "\/study-help\/questions\/the-constitution-of-ghana-enjoins-the-auditor-general-ag-to-9871426", "description": "The Constitution of Ghana enjoins the Auditor General (AG) to be independent, while the President of Ghana is required to appoint the AG. Aside this, the Lima and Mexico declarations also highlight...", "stars": 3 }, { "url": "\/study-help\/questions\/zhang-incorporated-her-sole-proprietorship-by-transferring-inventory-a-building-9606066", "description": "Zhang incorporated her sole proprietorship by transferring inventory, a building, and land to the corporation in return for 100 percent of the corporation's stock. The property transferred to the...", "stars": 3 }, { "url": "\/study-help\/questions\/inventory-microbucks-computer-company-makes-two-computers-the-pomegranate-ii-817497", "description": "Inventory Microbucks Computer Company makes two computers, the Pomegranate II and the Pomegranate Classic, at two different factories. The Pom II requires 2 processor chips, 16 memory chips, and 20...", "stars": 3 }, { "url": "\/study-help\/questions\/answer-all-items-please-answer-all-items-thank-you-calculate-817576", "description": "Calculate the Critical Ratios (CR): (Enter all responses rounded to two decimal places.) Job CR 1 The following jobs are waiting to be processed at Jeremy LaMontagne's machine center. Today is day...", "stars": 3 }, { "url": "\/study-help\/questions\/employees-at-a-large-manufacturer-are-surprised-to-find-that-5388228", "description": "Employees at a large manufacturer are surprised to find that cameras have been installed throughout the plant and all email communications are being monitored. Many are concerned about privacy and...", "stars": 3 }, { "url": "\/study-help\/questions\/compute-wynn-memorial-nursing-homes-days-in-accounts-receivable-compute-817602", "description": "Compute Wynn Memorial Nursing Home's days in accounts receivable. Compute Wynn Memorial Nursing Home's average payment period. Balance Sheet for Wynn Memorial Nursing Home Wynn Memorial Nursing Home...", "stars": 3 }, { "url": "\/study-help\/questions\/10-three-polarizing-disks-have-planes-that-are-parallel-and-817965", "description": "10. Three polarizing disks have planes that are parallel and centered on a common axis. The direction of the transmission axis (dashed line) in each case is shown relative to the common vertical...", "stars": 3 }, { "url": "\/study-help\/questions\/transcribed-image-text-question-3-view-policies-current-attempt-in-4695156", "description": "Question 3 View Policies Current Attempt in Progress Suppose the following information is available for Callaway Golf Company for the years 2017 and 2016. (Dollars are in thousands, except share...", "stars": 3 } ], "next_back_navigation": { "previous": "\/study-help\/questions\/1from-a-developmentbusiness-standpoint-sustainability-has-been-defined-as-the-2907857", "next": "\/study-help\/questions\/what-are-the-legal-basis-of-the-doctrine-of-universal-2907859" }, "breadcrumbs": [ { "name": "Study help", "link": "https:\/\/www.solutioninn.com\/study-help\/questions-and-answers" }, { "name": "Business", "link": "https:\/\/www.solutioninn.com\/study-help\/questions-and-answers\/business" }, { "name": "Economics", "link": "https:\/\/www.solutioninn.com\/study-help\/questions\/business-economics" }, { "name": "Suppose the government has a budget deficit of $2 billion. If the", "link": "https:\/\/www.solutioninn.com\/study-help\/questions\/suppose-the-government-has-a-budget-deficit-of-2-billion-2907858" } ], "skill_details": { "skill_id": "12", "skill_name": "Economics", "parent_id": "1" } } "1" } }