The Crowding-Out Effect Suggests That

question 52

Multiple Choice

The crowding-out effect suggests that:

• A)increases in consumption are always at the expense of saving.
• B)increases in government spending will close a recessionary gap.
• C)increases in government spending may raise the interest rate and thereby reduce investment.
• D)high taxes reduce both consumption and saving.

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Definitions:

Visual Aids

Tools and resources used to enhance the understanding or appeal of an information presentation, ranging from graphs and slides to physical products.

Trial Close

A strategy in sales where the salesperson presents a potential closing question or statement to assess the buyer's level of interest or readiness to buy, differing from prior mention by emphasizing the strategic aspect.

Open-Ended Question

A type of question that cannot be answered with a simple 'yes' or 'no', encouraging more detailed and informative responses.

Selling Point

A unique feature, benefit, or advantage of a product or service that makes it appealing to potential buyers.