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What is the effect of excessive government borrowing?
Excessive government borrowing can lead to higher public debt, which may result in increased interest rates as investors demand higher returns for perceived risks. This can crowd out private investment, stifling economic growth. Additionally, if borrowing is not managed sustainably, it can raise concerns about a government's ability to meet its obligations, potentially leading to inflation or a loss of confidence in the economy. Long-term reliance on debt can undermine fiscal stability and limit future policy options.
Which of these may result in lower investment lower prices and slower economic activity?
when government borrowing increases interest rates
What scenario may result in lower investment lower prices and slower economic activity?
When government borrowing increases interest rates.
What is the result of borrowing P20 and paying P8?
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What does the IMF require of a country it lends money to?
The IMF requires that the borrowing country provide a plan for reform that will ultimately result in resolving the payments problems.
What is the effect of excessive government borrowing?
Excessive government borrowing can lead to higher public debt, which may result in increased interest rates as investors demand higher returns for perceived risks. This can crowd out private investment, stifling economic growth. Additionally, if borrowing is not managed sustainably, it can raise concerns about a government's ability to meet its obligations, potentially leading to inflation or a loss of confidence in the economy. Long-term reliance on debt can undermine fiscal stability and limit future policy options.
Which of these may result in lower investment lower prices and slower economic activity?
when government borrowing increases interest rates
What scenario may result in lower investment lower prices and slower economic activity?
When government borrowing increases interest rates.
What is the result of borrowing P20 and paying P8?
-12
What is The loss of funds for private investment due to government borrowing is known as?
The loss of funds for private investment due to government borrowing is known as "crowding out." When the government borrows heavily, it can lead to higher interest rates, making it more expensive for private entities to borrow. As a result, private investment may decline because businesses and individuals are less likely to take loans when borrowing costs rise. This can hinder economic growth and investment in the private sector.
What happens if you trespass on government property?
Trespassing on government property is illegal and can result in criminal charges, fines, and potential imprisonment.
What is the reason for fiscal deficit in India?
The fiscal deficit in India is not fundamentally different from the fiscal deficit in any other country. The public always wants more government spending but they do not want more government taxes. The government attempts to oblige, by borrowing money. The result is a deficit.
How does a psp battery explode?
A PSP battery explodes as a result of excessive heat buildup. This often happens when it has been left to charge for an extended period of time.
How does acidocis differ from alkalocis?
Acidosis is the result of excessive acid in body fluids, whereas alkalosis is the result of excessive base in body fluids.
What happens if you don't protect yourself from UV radiation?
If you don't protect yourself from UV radiation, you may get a sunburn. Excessive exposure may result in skin cancer.
Can an individual be too motivated so that his or her performance declines as a result of excessive effort Discuss?
Can an individual be too motivated, so that his or her performance declines as a result of excessive effort? discuss?
What are the illness that may result from drinking alcohol?
Excessive drinking can result in alcohol poisoning and liver failure.
