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If the economy is in an inflationary gap and the government attempts to balance the budget, the effect will be to
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If the economy is in an inflationary gap and the government attempts to balance the budget, the effect will be to

User Eljas
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1 Answer

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13 votes

Answer:

To cover budget imbalances, governments borrow money

Step-by-step explanation:

A government's national debt grows every time it borrows money.

User ShurupuS
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