The lower 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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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
Q44: The higher the debt-to-GDP ratio,
A) the less
Q45: 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
Q50: The United States debt-to-GDP ratio reached its
Q51: The United States debt-to-GDP ratio reached its
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