crowding out
Pushing out competitors
Crowding out is an economic phenomenon where government borrowing or spending reduces private sector investment or consumption.
When governments borrow heavily, they compete with businesses for available capital, driving up interest rates and making private borrowing more expensive: Critics argue the stimulus package will crowd out private investment.
The concept extends beyond economics to any situation where one activity displaces another by consuming shared resources.
- supplantReplace by force
- taking overAssuming another's position
- supersedeReplace something outdated
- squeezing outForcing out by pressure
- interest ratesPrice paid for borrowing
displacement · exclusion · investment · public expenditure · budget deficit · public debt · national debt · private investment · fiscal policy · capital markets · monetary policy · savings rate · government spending · budget · public sector · eclipsing · intrinsic motivation · marginalization
- interferenceinterfering, meddling, intruding, butting in, obstructing
- expulsionsejection, ousting, expelling, forcing out, eviction
- fiscal policybudget deficit, deficit spending, national budget, budget surplus, budget deficits
- economic downturnsrecession, deflation, economic collapse, market decline, depression
- fiscal crisesdebt crisis, budget crisis, fiscal crisis, fiscal emergency, budget deficit
- public financepublic debt, budget deficit, tax revenue, budgets, expenditure
crowding outmultiplier effect
How spending compounds economically
crowding outinclusion
Being made part
opening up · bringing in · accommodation · accommodating · expansion
crowd, crowded, scarecrow, crowds, crowding, overcrowded, uncrowded, overcrowding, overcrowd