Crowding Out Definition

You are seeing definition of Crowding Out in Investment Terms Dictionary

Maybe this is not completely definition of Crowding Out but this is the best definition of Crowding Out at this time that we found. In future, this definition of Crowding Out can be modified, please visit our Investment Terms Dictionary more frequently to get latest information.

Home » Investment Terms Dictionary » Crowding Out

Definition Of Crowding Out:

The effect that occurs when governments borrow heavily to fund budget deficits.
Governments that are heavy debt issuers may supply all of the debt that the market needs, which makes it that much more difficult for other less highly-rated borrowers, such as corporations, to issue debt. If the supply of debt increases, the prices of bonds and notes fall. Because interest rates move inversely to the price of bonds or notes, the cost of borrowing rises.

Other Definition Of Investment Terms:

For your more easier in looking up our financial terms dictionary, we classified definitions of financial terms in several types. Please select one type below:
Price | Forex Broker | Profit | Debit | Income | Payment | All Types

Thank you for visiting Investment Dictionary website. We are conituning to upadate more Investment terms to Investment Dictionary. Please visit this website usually to get new definitions of Investment terms. We also provide some more dictionaries, you can find out as below:
Medical Dictionary | Law Dictionary | Legal Dictionary | Business Dictionary | Financial Dictionary | Computer Dictionary | Slang Dictionary