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Please show work. Thank you A country has a rate of growth (g) of 0.25%, a debt-to-income ratio of 91% and a primary deficit of
Please show work. Thank you
A country has a rate of growth (g) of 0.25%, a debt-to-income ratio of 91% and a primary deficit of 0.9% of output. In response to a stimulus package, the debt-to-income ratio rises to 101% which causes an increase in the interest rate from 2.8% to 7.8%. The impact to the change in the debt ratio over time is %. (Enter your response rounded to two decimal places.)Step by Step Solution
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