Question: 1. Describe the international feedback effect created by a rising budget deficit. 2. Describe the international feedback effect created by a falling budget deficit. 3.
1. Describe the international feedback effect created by a rising budget deficit.
2. Describe the international feedback effect created by a falling budget deficit.
3. Describe the international effect of an increase in the money supply.
4. Describe the international effect of a decrease in the money supply.
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1 A rising budget deficit raises US interest rates and prompts increased foreign capita... View full answer
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