Which statement is FALSE?

Question

Quizplus · Accepted Answer

An increase in government budget deficit will typically result in an increase in the total amount of borrowing, not a decrease. When the government runs a budget deficit, it must borrow more money to finance its spending. This increase in government borrowing puts upward pressure on interest rates, as the government's demand for borrowing competes with private sector borrowing. This, in turn, can lead to a decrease in private investment, as borrowing becomes more expensive for businesses and households.

Which Statement Is FALSE