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Private Investment
The expenditure on capital goods by private sector firms or individuals to increase their production capacity or asset portfolio.
Government Spending
The total amount of money spent by the government on various services and projects, including education, defense, infrastructure, and welfare programs.
Crowding-Out Effect
Describes a situation in economics where increased public sector spending reduces or eliminates private sector spending, often due to higher interest rates or borrowed funds.
Private Saving
The portion of individual or household income that is not spent on consumption but saved for future use.
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