Crowding In vs Crowding Out

National Debt by Biz_omics

Episode notes

Join us as we dive into the fascinating world of fiscal policy and explore the crowding in and crowding out effects—two key concepts that shape how government spending impacts the economy. In this episode, we'll break down what happens when governments borrow to fund budget deficits, examining both the potential to stimulate private sector investment (crowding in) and the risks of pushing it aside (crowding out).

Keywords
fiscal policybudget deficitnational debtmonetaristskeynesianmacroeconomicseconomicsaccelerator effectmultiplier effect