Question: Which method of financing government expenditure on higher education is most likely to result in an increase in the money supply?
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a.selling government bonds to the non-bank general public
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b.selling government bonds to the central bank
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c.raising the rate of income tax
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d.charging all students the full cost of tution fees
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e.None of these
Answer: b
 selling government bonds to the non-bank general public b) selling government bonds to the central bank c) raising the rate of income tax d) charging all students the full cost of tution fees e) None of these Ans. b) selling government bonds to the central bank
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