According to the Crowding-Out Effect,what Will Occur If the Federal

According to the crowding-out effect,what will occur if the federal government borrows to finance deficit spending?

A) The supply of loanable funds will increase, driving interest rates up.
B) The demand for loanable funds will increase, driving interest rates up.
C) The supply of loanable funds will decrease, driving interest rates down.
D) The demand for loanable funds will decrease, driving interest rates down.

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