If China's Government Runs a Budget Surplus and There Is

question 126

Multiple Choice

If China's government runs a budget surplus and there is no Ricardo-Barro effect, there will be ________ in the supply of loanable funds, private saving ________ and investment ________.

• A) an increase; decreases; increases
• B) a decrease; increases; increases
• C) an increase; increases; increases
• D) a decrease; decrease; increases

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