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Deficit Surges

trumpUS deficit surges 25% in fiscal 2020.

Questions
  1. What are the federal government receipts and outlays for the first four months of Fiscal 2020?
  2. What is the effect of the federal government budget deficit on the demand for loanable funds and the supply of loanable funds?
  3. What is the effect of the federal government budget deficit on investment?
  4. Why doesn’t investment change by the full amount of the government budget deficit?
  5. Draw a diagram to show the effect of a government budget deficit on the market for loanable funds.
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