Question

Which of the following statements explains why borrowing from the public by the federal government to...

Which of the following statements explains why borrowing from the public by the federal government to pay for​ it's debt is not​ inflationary?

A.

Borrowing from the public actually offsets the increase in government spending by increasing household and or business spending.

B.

Borrowing from the public actually offsets the increase in household spending by reducing business spending.

C.

Borrowing from the public actually offsets the increase in business spending by reducing household spending.

D.

Borrowing from the public actually offsets the increase in government spending by reducing household and or business spending.

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