If the Deficit Is Financed by Selling Bonds to the ________,The

question 72

Multiple Choice

If the deficit is financed by selling bonds to the ________,the money supply will ________,causing aggregate demand to ________.

• A)public;rise;increase
• B)public;fall;decrease
• C)central bank;rise;increase
• D)central bank;fall;decrease

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Definitions:

Labor

The engagement of human abilities, both physical and mental, in crafting goods and services.

Garden Gnomes

Decorative statues often placed in gardens, depicting mythological creatures known as gnomes.

Demand Curve

A graph showing the relationship between the price of a good and the quantity demanded, typically downward sloping, indicating that demand decreases as price increases.

Plaster

A building material made of lime or gypsum, water, and sand, used for coating walls and ceilings.