An increase in the size of the government deficit can generate a __________ demand for financial capital, __________ the interest rate and, therefore, generate a __________ level of private investment. A(n) __________ monetary policy could be pursued to lessen the impact of the growing deficit on the interest rate and private investment.

Group of answer choices

a. Higher; increasing; smaller; expansionary

b. Higher; decreasing; higher; contractionary.

c. Smaller; decreasing; higher; expansionary.

d. Smaller; increasing; smaller; contractionary