The Tendency for Private Saving to Increase in Response to Growing

question 104

Multiple Choice

The tendency for private saving to increase in response to growing government deficits is known as the

• A)crowding out effect.
• B)money illusion effect.
• C)Keynes effect.
• D)Ricardo-Barro effect.
• E)Mulroney-Harper effect.

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Definitions:

Sampling Error

The difference between a population parameter and a sample statistic that results from selecting a sample.

Expected Value

The predicted average outcome of a random variable, computed as the weighted average of all possible values.

Stratified Random Sampling

A probability sampling method in which the population is first divided into strata and a simple random sample is then taken from each stratum.

Strata

Subsets of a population that are known to be homogeneous with respect to some characteristic, used in stratified sampling.