1. a. To what extent do we need to worry about the component of our total deficit that consist of interest payments on the public debt. (Hint: Ask yourself how much of this component is a real cost to the government.)

b. To what extent do we need to worry about the national debt? In what way or ways is it a burden on society?

2. Should we require that the budget be balanced? Discuss

3. Why is it more useful to look at the ratio of debt to GDP than at the absolute value of the debt?