An Increase in the Government Budget Deficit Will Shift the ________

question 248

Multiple Choice

An increase in the government budget deficit will shift the ________ curve for loanable funds to the ________ and the equilibrium real interest rate will ________.

• A)supply; right; fall
• B)supply; left; rise
• C)demand; right; rise
• D)demand; left; fall

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Definitions:

Queen Liliuokalani

The last reigning monarch of the Kingdom of Hawaii, who was overthrown in 1893 in a coup backed by U.S. interests, leading to the eventual annexation of Hawaii by the United States.

Maine

A state in the northeastern United States, known for its scenic coastlines, lighthouses, and as a major producer of lobsters and blueberries.

President McKinley

William McKinley, the 25th President of the United States, known for leading the nation during the Spanish-American War.

Cuban Insurgents

were fighters involved in various movements, notably in the late 19th and early 20th centuries, seeking independence from Spanish colonial rule.