Large federal government budget deficits financed by foreign lenders tend to
A) depress net exports.
B) lower the value of the dollar and reduce imports.
C) crowd out domestic lenders and reduce investment.
D) immediately transfer purchasing power to the foreign investors.
E) reduce the size of the national debt, since the bonds are held by foreign investors.
Correct Answer:
Verified
Q3: If people believe that in the future
Q4: Approximately what share of the U.S.public debt
Q5: The crowding-out effect
A) is a basic tenet
Q6: An excess of government revenues over expenditures
A)
Q7: During the last 30 years,the federal government
Q9: When the government finances a deficit by
Q10: The idea that an economy experiencing considerable
Q11: When evaluating the size of the annual
Q12: When the government finances its expenditures by
Q13: If the government goes into the credit
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