A main concern about the crowding out of private borrowing by increased federal government borrowing is:
A) the government may default on its loans.
B) increased federal government borrowing makes it difficult for foreign lenders to find borrowers in the U.S.
C) economic growth may be limited because businesses cannot afford to borrow to buy the machinery and equipment needed for growth.
D) Treasury securities issued by the government when it borrows are riskier than corporate bonds issued by businesses when they borrow.
Correct Answer:
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Q147: To pay off the national debt, the
Q148: Paying off the national debt would cause:
A)
Q149: The national debt should NOT be paid
Q150: Paying off the entire national debt would:
A)
Q151: Crowding out of private borrowing as a
Q153: Which of the following statements about crowding
Q154: One effect of the federal government's borrowing
Q155: Crowding out occurs when government borrowing reduces:
A)
Q156: Which of the following statements about public
Q157: On which of the following does the
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