Answer to Question #89602 in Macroeconomics for JULIE ABANA

Question #89602
Can a nation fund its investments at a level higher than that currently provided by its income? Explain
1
Expert's answer
2019-05-15T09:57:13-0400

Yes. A nation can fund its investment at a higher level than its income by providing government bonds, Treasury bills and notes. The government pays interest rates to those who purchase the bonds giving them a return on their investment


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