Which of the following is not a common result of Foreign owning large amounts of Home’s debt? A.Home’s interest rate will be lower due to the larger demand for Home’s credit. B.Increased funds and resources are available for Home’s entrepreneurs C.Foreign’s citizens gain the ability to tank Home’s bond market D.Greater numbers of investors will lead to more creative use of Home’s resources

When a foreign country owes a large amount of Home's debt then it is like an outflow of capital from…

Answered: Which of the following is not a common…

Macroeconomics: Private and Public Choice (MindTap Course List)

16th Edition

ISBN:9781305506756

Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Chapter15: Macroeconomic Policy, Economic Stability, And The Federal Debt

Section: Chapter Questions

Problem 9CQ

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Which of the following is not a common result of Foreign owning large amounts of Home’s debt?

	A.	Home’s interest rate will be lower due to the larger demand for Home’s credit.
	B.	Increased funds and resources are available for Home’s entrepreneurs
	C.	Foreign’s citizens gain the ability to tank Home’s bond market
	D.	Greater numbers of investors will lead to more creative use of Home’s resources

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