When a Government Has a Budget Deficit,it Must Issue (Sell)government

question 152

Essay

When a government has a budget deficit,it must issue (sell)government bonds to finance the deficit.Does it matter for the rate of inflation if the government sells the government bonds to the public or sells the government bonds to the central bank? Explain why it does or does not matter.

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Definitions:

Online Communities

Groups of people who interact with each other via the Internet, sharing common interests, goals, or characteristics, often within forums, social networks, or other digital platforms.

Successful

The achievement of set goals or objectives, often marked by a sense of accomplishment and recognition.

Social Network

A platform or structure made up of individuals or organizations that are interconnected through various forms of relationships, such as friendships, kinship, common interests, or economic exchanges.

Exchanges

Transactions or interactions between parties where goods, services, information, or money are traded, foundational to market activity and social relations.