The higher the debt-to-GDP ratio,
A) the less risky an investment do financiers judge the debt of the country, reducing the interest rate that governments will have to pay to convince people to buy and hold the debt.
B) the more risky an investment do financiers judge the debt of the country, reducing the interest rate that governments will have to pay to convince people to buy and hold the debt.
C) the less risky an investment do financiers judge the debt of the country, increasing the interest rate that governments will have to pay to convince people to buy and hold the debt.
D) the more risky an investment do financiers judge the debt of the country, increasing the interest rate that governments will have to pay to convince people to buy and hold the debt.
Correct Answer:
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Q39: If the cash deficit-to-GDP ratio decreases,
A) the
Q40: If the labor force growth rate decreases,
A)
Q41: If the inflation rate increases,
A) the equilibrium
Q42: If the inflation rate decreases,
A) the equilibrium
Q43: The higher the debt-to-GDP ratio,
A) the less
Q45: The lower the debt-to-GDP ratio,
A) the less
Q46: The lower the debt-to-GDP ratio,
A) the less
Q47: The higher the debt-to-GDP ratio,
A) the more
Q48: A deficit is sustainable only if
A) the
Q49: Each of the following is a possible
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