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    Economics Study Set 8
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    Exam 31: Deficits and Debt: the Austerity Debate
  5. Question
    When the Government Runs a Deficit, It Will
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When the Government Runs a Deficit, It Will

Question 48

Question 48

Multiple Choice

When the government runs a deficit, it will:


A) buy bonds to finance the deficit.
B) sell bonds to finance the deficit.
C) reduce the money supply to finance the deficit.
D) raise taxes immediately.

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