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AP Economics - Finance

Question:

Effect of budget deficit on loanable funds

Answer:

A government budget deficit would decrease the supply of loanable funds, pushing up interest rates.
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Last update by davidcullipher on 01/18/2010
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AP Economics   Finance
AP Economics - Finance
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Question: Effect of budget deficit on loanable funds
Answer: A government budget deficit would decrease the supply of loanable funds, pushing up interest rates.