Probably, thanks to the Keynesian multiplier effect.
3% (2 votes)
Unlikely, as it would probably replace private investment due to the crowding-out effect.
97% (69 votes)
Unlikely, as it would probably replace private consumption due to Ricardian equivalence.
0% (0 votes)
Total votes: 71
Understanding the Keynesian multiplier effect of government spending.
Understanding the concept of crowding-out.
Understanding the concept of Ricardian equivalence.
Empirically evaluating the merits of each of the above concepts.
Understanding the conditions that affect the explanatory power of each of those concepts.
Understanding the short- and long-term effects of government spending on jobs and inflation.