Macroeconomics Quiz
20 questions · no time limit
0:00
LONG-RUN GROWTH & POLICY TRADEOFFS
Question 1 of 20
No time limit
Current
Answered
Flagged
Not seen
An economy experiences a negative supply shock that reduces potential output. The government responds with expansionary fiscal policy to maintain employment levels. If crowding out reduces private investment by 40% of the fiscal stimulus, what is the most significant long-term consequence?
YOUR PROGRESS
20
QUESTIONS
Ready when you are
Answer in any order. Your progress shows here as you go.
QUESTIONS
KEYBOARD
Pick an answer ABCD
Next question ↵→
Previous ←
Flag for review F