If Crowding Out Occurs, the Main Burden of the Debt

question 91

Multiple Choice

If crowding out occurs, the Main Burden of the debt is

• A)smaller government assets passed along to the next generation.
• B)smaller capital stock passed along to the next generation.
• C)fewer government services during this generation.
• D)higher debt payments passed along to the next generation.

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Definitions:

Consumption

The use of goods and services by households or the amount spent on them.

GDP

The total worth of goods and services generated inside the confines of a country during a set period, known as Gross Domestic Product, acts as a wide-ranging gauge of the country's economic health.

Consumption

Consumption refers to the use of goods and services by households. It is a primary component of economic activity, measuring the total value of all goods and services consumed over a specific time period.

Disposable Income

The total amount of money available to an individual or household for spending and saving after income taxes have been deducted.