The Ricardo- Barro Effect Asserts That Government

question 99

Multiple Choice

The Ricardo- Barro effect asserts that government

• A)expenditure affects private expenditure.
• B)budget deficits crowd- out private borrowing.
• C)saving affects private saving.
• D)taxation raises interest rates.

---

Definitions:

Intangibility

A characteristic of services that implies they cannot be seen, touched, or physically measured.

Evaluating Services

The process of assessing the quality, effectiveness, and satisfaction of services provided to customers.

Difficulty

The level of challenge or effort required to complete a task or overcome a problem.

Tangible

A term used to describe physical items that can be seen, touched, and usually, valued, such as machinery, buildings, or products.