Both trends encourage economic expansion and diversification.
Bond issuance rises as companies and governments seek capital to invest in infrastructure, technology, and globalization-driven initiatives.
Elimination of Other Options:
A: Urbanization has increased due to globalization, making this incorrect.
B: Equity issuance has not significantly decreased; bonds have grown alongside equities.
C: Technological change often reduces inflationary pressure through efficiency.
References:
ICWIM Module 1: Globalization and Financial Markets: Examines the role of debt markets in global finance.
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