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Economics · May / June 2025 · Paper 12 · Question 19

2281Fiscal policy

What is not a likely consequence of a rise in the budget deficit in a year?

  1. Aa rise in government borrowing
  2. Ba rise in the level of exports
  3. Ca rise in the national debt
  4. Da rise in the rate of inflation

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Correct answer: B. a rise in the level of exports

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