If Interest Rates Adjust to Equate Savings and Investment, Then

question 83

Multiple Choice

If interest rates adjust to equate savings and investment, then an expansionary fiscal policy is:

• A)more likely to increase interest rates and less likely to crowd out investment.
• B)more likely to increase interest rates and more likely to crowd out investment.
• C)less likely to increase interest rates and less likely to crowd out investment.
• D)less likely to increase interest rates and more likely to crowd out investment.

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Definitions:

McCarthyism

Represents the period of intense anti-communist suspicion in the United States around the 1950s, led by Senator Joseph McCarthy, characterized by unfounded accusations and investigations.

Senator McCarthy

Senator McCarthy refers to Joseph McCarthy, a U.S. senator known for his 1950s campaigns to expose supposed Communist sympathizers in the United States government and society.

Political Demise

The end or downfall of a political entity, leader, or institution, often due to loss of power, support, or relevance in the current political climate.