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Fiji's Debt-GDP ratio is around 49% and it will increase even more after the COVID-19. With reference to what has been covered in the class

  1. Fiji's Debt-GDP ratio is around 49% and it will increase even more after the COVID-19. With reference to what has been covered in the class regarding the sustainability debt level, discuss weather Fiji's debt is at sustainable level. Why or why not? ( 5 marks)

What consequences can arise when the budget deficit and government debt is beyond the sustainable level? ( 5 marks)

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