Trace the impact upon the government debt, the nation's capital stock, and real output of a government
Question:
Trace the impact upon the government debt, the nation's capital stock, and real output of a government program that borrows abroad and spends the money on the following:
a. Capital to drill for oil, which is exported (as did Mexico in the 1970s)
b. Grain to feed its population (as did Nigeria in the 2000s)
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a With the borrowing from abroad any such government program which then spends the d...View the full answer
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