Which of the Following Is Not a Possible Implication of Federal

question 164

Multiple Choice

Which of the following is not a possible implication of federal budget deficits?

• A) crowding out
• B) increased interest rates
• C) inflation
• D) increased trade deficits
• E) depreciation of the dollar

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Definitions:

Coupon Rate

The interest rate that an issuer of a bond agrees to pay to the holder of the bond, expressed as a percentage of the bond's face value.