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Assume a sharp increase in government deficit occurs and it is financed by issuing new bonds....

Assume a sharp increase in government deficit occurs and it is financed by issuing new bonds. Using the supply and demand in the bond market, what would be the resulting effect on the Interest rate?

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Specify whether this shock refers to shifter/determinant of the demand curve Or the supply curve. What happens with this curve, what is the impact on the market equilibrium— whether it remains the same or changes. And what the effect is on the interest rate.
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