If the government spends more than it takes in as taxes, it runs a -Select- , which must be covered by additional borrowing or by printing money. If the government borrows money, this -Select- the demand for funds and -Select- interest rates. If the government prints money, the result will be -Select- inflation, which will -Select- interest rates. So, the larger the federal -Select- , other things held constant, the -Select- the level of interest rates