If the federal government decreases its spending and doesn't decrease taxes,the bond supply shifts to the
A) left and the equilibrium interest rate rises.
B) left and the equilibrium interest rate falls.
C) right and the equilibrium interest rate rises.
D) right and the equilibrium interest rate falls.

Question

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The Answer of If the federal government decreases its spending and doesn't decrease taxes,the bond supply shifts to the
A) left and the equilibrium interest rate rises.
B) left and the equilibrium interest rate falls.
C) right and the equilibrium interest rate rises.
D) right and the equilibrium interest rate falls.

If the Federal Government Decreases Its Spending and Doesn't Decrease