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In Debt Deflation, Deflation Raises the Cost of Existing Debt

question 142

Multiple Choice

In debt deflation, deflation raises the cost of existing debt by increasing the value of money needed to pay it off, leading to a(n) _____ in aggregate _____.


Definitions:

Presentation

A demonstration or display of information in a structured format, typically to an audience.

Salivation

The secretion of saliva in the mouth, which can be stimulated by the sight, smell, thought, or taste of food.

Unconditioned Response

A naturally occurring reaction to an unconditioned stimulus that does not require learning.

Conditioned Response

A learned reaction to a previously neutral stimulus that occurs after repeated association with an unconditioned stimulus.

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