Other things equal, high interest rates increase the government deficit because of higher government interest payments.
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Q242: Deficit targeting acts as an automatic stabilizer.
Q243: Cyclical deficits generally increase during recessions.
Q244: An example of automatic stabilizers is
A) government
Q245: The way the U.S. government borrows money
Q246: Without deficit targeting, a negative demand shock
Q248: Decreasing taxes during a recession is an
Q249: An example of automatic stabilizers is
A) government
Q250: Other things being equal, if the government
Q251: A negative demand shock increases consumer and
Q252: A negative demand shock could cause an
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