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    Exam 17: Macroeconomic Policy and Floating Exchange Rates
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    12 a Government Budget Deficit Would Tend To
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12 a Government Budget Deficit Would Tend To

Question 56

Question 56

Multiple Choice

12 A government budget deficit would tend to:


A) increase the demand for loanable funds.
B) decrease the demand for loanable funds.
C) increase the supply of loanable funds.
D) lower interest rates.
E) have no effect on interest rates.

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