The Reduction in Private Borrowing That Is Caused by an Increase

question 124

Multiple Choice

The reduction in private borrowing that is caused by an increase in government borrowing is called:

• A) the crowding out effect.
• B) surplus investment.
• C) the dissaving effect.
• D) the savings effect.

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Definitions:

Sustainability

Involves practices and strategies that meet present needs without compromising the ability of future generations to meet their needs, highlighting environmental, economic, and social dimensions.

Economic Results

The outcomes related to the financial performance and economic health of a business or economy, reflecting growth or challenges.

Profitability

Profitability is a financial metric indicating the degree to which a company or business activity yields profit, comparing revenue against expenses over a specific period.

Tier 2 Environmental Costs

The indirect costs associated with environmental impacts and resource use that are not directly tied to a company's operations, such as societal or external environmental costs.