Fiscal policy is most effective in a fixed-rate system when, Business Economics

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Fiscal policy is most effective in a fixed-rate system when

Fiscal policy is most effective in a fixed-rate system when capital is perfectly mobile because there is no domestic “crowding out.” Explain what is meant by the term “crowding out,” and then critically evaluate the previous statement using the IS/LM/BP model.

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Business Economics: Fiscal policy is most effective in a fixed-rate system when

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