Multiple Choice
If the private sector is not willing to purchase government bonds being issued to finance a deficit, and the government's only option is to print more money, then this will likely cause
A) a weak stock market.
B) a lower dollar value.
C) inflation.
D) a run on borrowing.
Correct Answer:

Verified
Correct Answer:
Verified
Q102: What would happen to a government's total
Q103: Typical consumption taxes create an incentive to
Q104: Financing government expenditure through deficits rather than
Q105: A surplus is defined as<br>A) the excess
Q106: Do deficits lead to inflation?
Q108: What method is used as the standard
Q109: The federal government ran a budget deficit
Q110: When a government chooses to have a
Q111: Since 1998, the U.S. federal government has
Q112: The only way governments can finance a