When Does the Treasury Department Borrow? Why Would the Treasury

question 110

Essay

When does the Treasury Department borrow? Why would the Treasury have to borrow more than it estimated? When would the Treasury repay what it borrowed,and who is it repaying?

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Definitions:

Inferior Good

A type of good for which demand decreases as the income of the consumer increases, opposite to a normal good.

Normal Good

A type of good for which demand increases as the income of individuals increases, indicating a direct relationship between income and demand.

Demand-Increasing Factor

Elements or conditions that lead to an increase in demand for a product or service, such as a rise in consumer income or a change in tastes.