Which of the following may result in lsquo Crowding Out rsquo sometimes seen in news 1 Higher taxes ...........

Explanation:

1 and 3 only

Higher taxes (Option 1) can reduce private consumption and investment by reducing disposable income and profits, respectively, which can lead to crowding out.

Reduced interest rates (Option 2) typically encourage borrowing and stimulate economic activity, reducing the likelihood of crowding out.

Increased borrowing by the government (Option 3) can lead to crowding out if it results in higher interest rates and reduces the availability of funds for private investment.

Therefore, options 1 and 3 correctly identify factors that may lead to crowding out.