2. Plot the 12-month percentage growth rates in total real government expenditures and in real government expenditures from 1948 to 2012. Calculate these growth rates from quarterly data. Do you think your plot shows any evidence that government spending crowds out private consumption? Why or why not?
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Business, 22.06.2019 13:40, nina1390
Determine if the following statements are true or false. an increase in government spending can crowd out private investment. an improvement in the budget balance increases the demand for financial capital. an increase in private consumption may crowd out private investment. lower interest rates can lead to private investment being crowded out. a trade balance in sur+ increases the supply of financial capital. if private savings is equal to private investment, then there is neither a budget sur+ nor a budget deficit.
Answers: 1
2. Plot the 12-month percentage growth rates in total real government expenditures and in real gover...
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