Answer Bank The government of Cantania stops borrowing from foreign nations Cantania's government increases its demand for financial capital Interest rates in Cantani rise More funds are made available for private investment in physical capital
Answer Bank The government of Cantania stops borrowing from foreign nations Cantania's government increases its demand for financial capital Interest rates in Cantani rise More funds are made available for private investment in physical capital
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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The nation of Cantania regularly experiences changes in its national budget situation. In some years, Cantania operates with a budget deficit, while in other years it experiences a budget surplus. Please classify each of the possible consequences into the appropriate category of the budget circumstance most likely to cause them. answer bank in image
Cantania experiences an increase in budget surplus | Cantania experiences an increase in budget deficit |
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