Which is NOT a potential cost faced by nations that choose against repaying their debts?

A. A loss of foreign assets
B. Domestic recession
C. Moral hazard
D. A loss of future creditworthiness

Answer: C

Economics

You might also like to view...

Macroeconomic models are

A) never wrong. B) accurate descriptions of the economy. C) simple abstractions of reality. D) consistent with all economic data.

Economics

Engel's Law asserts that consumer expenditures on daily food in the aggregate decline as incomes rise. This explains the decreased demand for daily foods and the increased U.S. demand for exotic foods

Indicate whether the statement is true or false

Economics