The interest paid on public debt held by __________ is a real claim on our goods and services.

Name: The interest paid on public debt held by __________ is a real claim on our goods and services.
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Question

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When foreigners hold public debt, the interest paid on that debt represents a real transfer of resources from the US economy to foreign nations. This is because the interest payments are going to foreign households, businesses, and governments rather than being spent within the US.

The Interest Paid on Public Debt Held by __________ Is