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One Potential Problem with the Chinese Government's Increases in Spending

Question 241

Multiple Choice

One potential problem with the Chinese government's increases in spending on capital goods is that these increases have been achieved through


A) high levels of borrowing in global financial markets.
B) decreases in private consumption.
C) debt refinancing and tariff revenues.
D) a rapid expansion of the money supply.
E) a decrease in net exports.

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