Examlex
Fill in the correct labels for the following figure using the word bank below.
-K _______________
Private Investment
The expenditure on capital goods by private sector firms or individuals in order to generate future income or profits, excluding government spending.
Crowding-In Effect
An increase in private sector spending stimulated by federal budget deficits financed by U.S. Treasury borrowing.
Private Investment
Expenditures by private sector entities on capital goods that are used to produce goods or services in the future.
Government Spending
The total of all public sector expenditures, including public goods and services provided, and investments made by government agencies.
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