Even though the national debt is rising, the debt-to-GDP ratio will fall as long as
A) interest payments on the national debt as a fraction of government spending remain constant
B) the real interest rate exceeds the economic growth rate and the primary budget is balanced
C) the real interest rate is lower than the economic growth rate and the primary deficit is zero
D) the debt is growing more slowly than the federal budget deficit
E) the primary budget deficit as a share of GDP is not growing
Correct Answer:
Verified
Q20: If we compare the U.S.federal government outlays
Q21: If we look at interest payments on
Q22: Between 1945 and 2010, the average interest
Q23: The greatest burden of an increasing national
Q24: If we compare spending as a percentage
Q26: Interest payments on the U.S.national debt as
Q27: If we compare the debt-to-GDP ratios of
Q28: What contributed to the recent debt crises
Q29: Which of the following is TRUE?
A)the average
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