Consider a Government with an Outstanding Stock of Public Debt

Consider a government with an outstanding stock of public debt. If, in any given year, the government has a primary budget surplus and the real interest rate on government bonds is more than the growth rate of real GDP, then

A) the effect on the debt- to- GDP ratio is uncertain.
B) the debt- to- GDP ratio is certainly negative.
C) the debt- to- GDP ratio will certainly fall.
D) debt- service payments will be eliminated.
E) the debt- to- GDP ratio will certainly rise.