If there is an increase in government spending that is financed by iss

If there is an increase in government spending that is financed by issuing bonds, then

a. interest rates should rise which increases private investment.
b. interest rates will remain the same unless taxes are reduced as well.
c. interest rates should fall which increases private investment.
d. interest rates should rise which decreases private investment.
e. None of the above.

 

ANSWER

D

Expert paper writers are just a few clicks away

Place an order in 3 easy steps. Takes less than 5 mins.

Calculate the price of your order

You will get a personal manager and a discount.
We'll send you the first draft for approval by at
Total price:
$0.00