Economics · Macroeconomics
Which of the following forms of public spending will generally result in a 'crowding in' effect in the economy? (i) Public borrowings to finance spending on infrastructure (ii) Public borrowings to finance spending on administrative salaries and wages (iii) Public borrowings to finance spending on health and education (iv) Public borrowings to finance spending on skill development
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1(i) and (ii) only
- 2(i), (iii) and (iv)✓
- 3(iii) and (iv) only
- 4(i), (ii) and (iii)
Correct answer
(i), (iii) and (iv)
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