If a country with a large government debt uses money creation to service and repay the debt, this will lead to
a. lower interest rates.
b. an appreciation of the nation's currency in the foreign exchange market.
c. inflation, higher interest rates, and a financial crisis.
d. rapid economic growth, as the expansionary monetary policy stimulates the economy and generates the additional tax revenue to service the larger debt.
C
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The negative slope of an indifference curve means that the consumer must give up quantity of one good as the quantity of another good increases in order for total utility to ____
a. remain constant. b. increase c. decrease d. normalize.
In the __________, the currency of a country with the higher inflation rate will __________ against the currency of a country whose inflation rate is lower
a. short run; appreciate. b. short run; depreciate. c. long run; appreciate. d. long run; depreciate. e. long run; remain stable.