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What makes increased government spending an effective tool for increasing demand?
Wiki User
∙ 13y ago
By increasing government spending, you increase the demand for certain products because the government is looking to buy those products. The government can act as a consumer, and when a consumer spends more, the demand for goods and services is increased.
Wiki User
∙ 13y ago
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Which action has an expansionary effect on the economy?
Increasing government spending
How did government spending affect the economy-?
Federal spending on forgein aid increased demand for U.S goods.
When would the government most likely increase its spending?
When unemployment has increased
Did president mirabeau B Lamar increased government spending?
i cant this computer
What does crowding out mean?
Increased government spending results in higher interest rates which puts downward pressure on investment spending.
How do you improve demand during recession?
Increased demand can be caused by: increasing government spending, increased investment by the private sector, increased consumption or increased net exports. This is brought about by reducing interest rates and other things...
Both the increased spending by the national government and the nationally imposed income tax?
Both the increased spending by the national government and the nationally imposed income tax
How can recent government spending be best described?
Constantly increasing
Which action has an expansionary effect on the economy?
Increasing government spending
What did President Roosevelt do for the US economy?
He increased government spending
How did government spending affect the economy-?
Federal spending on forgein aid increased demand for U.S goods.
Causes of public debts?
majorly caused by increased government spending
When would the government most likely increase its spending?
When unemployment has increased
When would government most likely increase its spending?
When unemployment has increased
Which appeal would be most effective for a speech on government spending?
Logos
Did president mirabeau B Lamar increased government spending?
i cant this computer
What does crowding out mean?
Increased government spending results in higher interest rates which puts downward pressure on investment spending.
