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When a Nation Has a High Debt/GDP Ratio,that Nation Generally

Question 57

Multiple Choice

When a nation has a high debt/GDP ratio,that nation generally will


A) require high taxes just to pay interest on the debt.
B) be able to borrow funds at relatively low real interest rates.
C) find that its bonds are attractive to international investors seeking low-risk investments.
D) want to increase spending in order to gain the confidence of international investors.

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