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The differential equation is
Higher Interest Rate
An increased percentage charged on borrowed money or paid on savings and investments.
Public Saving
Public saving refers to the surplus of government revenues over government spending. It's a component of national savings along with private savings.
Private Saving
The portion of household and business income that is not spent on current consumption but instead is saved or invested for future use.
Government Budget Deficit
A financial shortfall where a government's expenditures exceed its revenues.
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