When the Federal Governments Budget Deficit Increases,the ________ Curve for Bonds

question 40

Multiple Choice

When the federal governments budget deficit increases,the ________ curve for bonds shifts to the ________.

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

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Definitions:

Demand Curves

Graphs that illustrate the relationship between the price of a good and the quantity of that good consumers are willing and able to purchase at different prices.

Monopolistically Competitive

A market structure where many firms sell products that are differentiated from one another but can act as substitutes, allowing for some control over pricing.

Shift To The Left

A term used in economics to describe a decrease in supply or demand, represented graphically by a leftward shift of the supply or demand curve.

Monopolistically Competitive

An economic setup in which a variety of businesses market goods that are comparable yet distinct, enabling them to have some market control and differentiate their offerings.