中等ECON-FISCA-006
The 'crowding out effect' of expansionary fiscal policy refers to:
A. Government spending displacing private consumption
B. Higher government borrowing raising interest rates and reducing private investment✓ 答案
C. Tax cuts reducing government revenue and increasing debt
D. Inflation eroding the real value of government spending
解說
Crowding out: expansionary fiscal policy (deficit) → increased government borrowing → higher interest rates → lower private investment. In HK under LERS, rates track US, so crowding out via interest rates is limited; it operates via exchange rate/confidence channels.