1. When the economy operates at full employment, an increase in government spending must crowd out consumption. __________ (True/False) 2. A(n) __________ economy is open to trade, whereas a closed...

1. When the economy operates at full employment, an increase in government spending must crowd out consumption. __________ (True/False)

2. A(n) __________ economy is open to trade, whereas a closed economy is not.

3. In an open economy, increases in government spending can crowd out consumption, investment, or __________.

4. Compared to other countries, China has a relatively __________ share of consumption spending in GDP.