The Term "Crowding Out" Relates to the Decrease in

question 140

Multiple Choice

The term "crowding out" relates to the decrease in

• A) consumption expenditure from an increase in investment.
• B) the real interest rate from a government budget deficit.
• C) private investment from a government budget deficit.
• D) saving from an increase in disposable income.

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Definitions:

Null Hypothesis

In statistics, it posits that there is no effect or difference among the groups being studied or variables being compared.

Alpha

In hypothesis testing, alpha level represents the threshold for rejecting the null hypothesis, often set at 0.05 or 5% risk of Type I error.

T-statistic

A statistic calculated from a dataset to compare the mean of the data to a hypothetical mean as part of a t-test.

Critical Value

The boundary value from a statistical distribution where, if the observed test statistic is beyond this point, the null hypothesis is rejected.