Which of the Following Is Not an Affect of a Higher

question 39

Multiple Choice

Which of the following is not an affect of a higher federal government budget deficit?

• A) a higher real interest rate
• B) a depreciation of the currency
• C) a fall in exports
• D) a fall in the price of foreign inputs

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Definitions:

Short-Term Profitability

The ability of a company to generate profits over a brief period, typically less than one year.

Interlocking Directorates

Interlocking directorates occur when members of the board of directors for one company serve on the boards of directors for other companies, potentially leading to conflicts of interest and reduced competition.

Clayton Act

A U.S. antitrust law, passed in 1914, aimed at increasing competition by prohibiting certain actions that lead to anti-competitiveness.

Sherman Act

A foundational antitrust law in the United States designed to prevent monopolistic practices and promote competition.