Crowding out

From CNM Wiki
Revision as of 00:39, 1 June 2020 by Kevmwangi (talk | contribs) (Created page with "Crowding out is when government borrowing soaks up available financial capital and leaves less for private investment in physical capital. ==Definition== According to P...")
(diff) ← Older revision | Latest revision (diff) | Newer revision → (diff)
Jump to: navigation, search

Crowding out is when government borrowing soaks up available financial capital and leaves less for private investment in physical capital.

Definition

According to Principles of Economics by Timothy Taylor (3rd edition),

Crowding out. When government borrowing soaks up available financial capital and leaves less for private investment in physical capital.