Which policy to finance the public debt might crowd-out private spending?
A)borrowing money from the public in the money market
B)decreasing government spending
C)creating new money
D)decreasing taxes

Question

Quizplus · Accepted Answer

Borrowing money from the public in the money market can lead to higher interest rates, which may crowd out private investment and spending.

Which Policy to Finance the Public Debt Might Crowd-Out Private