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    Macroeconomics Study Set 9
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    Exam 15: Fiscal Policy and the Government Budget in the Long Run
  5. Question
    An Increase in the Inflation Rate Will Lead to a ________
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An Increase in the Inflation Rate Will Lead to a ________

Question 51

Question 51

Multiple Choice

An increase in the inflation rate will lead to a ________ nominal interest rate,which will ________ the debt-to-GDP ratio.


A) higher; raise
B) higher; reduce
C) lower; raise
D) lower; reduce

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