An Important Consequence of Foreign-Held Debt Is the ________ of the Supply

question 171

Multiple Choice

An important consequence of foreign-held debt is the ________ of the supply of loanable funds in the United States,which helps keep interest rates ________.

• A) decrease; high
• B) decrease; low
• C) increase; high
• D) increase; low
• E) velocity; stable

---

Definitions:

Marginal Cost

The additional cost incurred by producing one more unit of a product or service, critical for decision-making in production and pricing strategies.

Demand Function

A mathematical expression showing the relationship between the quantity of a good demanded by consumers and its price.

Edited

Modified or changed, especially to correct or improve a text, film, or recording.

Typeset

The arrangement and composition of text material with a variety of fonts, sizes, and styles for printing or digital display.