An increase in the budget deficit can be reflected in

Name: An increase in the budget deficit can be reflected in
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Question

Quizplus · Accepted Answer

An increase in the budget deficit can lead to an increase in private saving as individuals anticipate future taxes to pay off the debt, a reduction in investment due to higher interest rates crowding out private investment, and a reduction in net exports as a result of a stronger domestic currency making exports more expensive.

An Increase in the Budget Deficit Can Be Reflected in