Asked by
Cooper Abramson
on Nov 11, 2024Verified
A likely consequence of debt default is:
A) a decrease in the federal cost of borrowing.
B) an increase in unemployment due to growing uncertainty.
C) a sudden decline in the market interest rates.
D) an increase in the credit flows in an economy.
E) a sudden increase in the investment flows in the economy.
Debt Default
The failure to meet the legal obligations of a loan, such as not making scheduled payments on time.
- Identify the outcomes of extensive government budget deficits on the economic environment and interest rate trends.
Verified Answer
JA
Learning Objectives
- Identify the outcomes of extensive government budget deficits on the economic environment and interest rate trends.
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