Question
1.A country's public debt burden will fall if: a)The growth rate of GDP is greater than the nominal interest rate on government debt. b)The government
1.A country's public debt burden will fall if:
a)The growth rate of GDP is greater than the nominal interest rate on government debt.
b)The government has the political will to achieve a budget surplus.
c)The real growth rate of GDP exceeds the real interest rate.
d)The growth rate of GDP exceeds the interest rate on government debt by more
than enough to offset any increase in debt coming from a primary government deficit.
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International financial management
Authors: Jeff Madura
12th edition
1133947832, 978-1305195011, 978-1133947837
