If the public debt can be financed without adding to inflation or causing interest rates to rise, it is said to be:
A)only a burden on future generations.
B)following the golden rule of the public finances.
C)in primary balance.
D)sustainable

Question

Quizplus · Accepted Answer

Sustainable public debt does not lead to inflation or higher interest rates, indicating that the government can meet its debt obligations without harming the economy.

If the Public Debt Can Be Financed Without Adding to Inflation