Would a rise in government borrowing make it harder

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Consider Figure. Would a rise in government borrowing make it harder or easier for a new business to sell new stocks in an initial public offering (IPO)?

In other words, are government bonds and corporate stocks substitutes for each other or complements to each other?

Reference no: EM131832957

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Would a rise in government borrowing make it harder : Would a rise in government borrowing make it harder or easier for a new business to sell new stocks in an initial public offering (IPO)?

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