Given: Nominal deficit = Nominal primary deficit + Nominal interest payments Change in debt-GDP ratio = Deficit Nominal GDP Total debs xGrowth rate of nominal GDP) Nominal GDP From the given information, change in debt-GDP ratio is, N.P. deficit + NI. payments =ADebt-GDP Ratio= Nominal GDP Total Debt Nominal GDF XGrowth rate of nominal GDP) N.P. deficit Nominal GDP N.I. payments Total Deb xGrowth rate of nominal GDP) Nominal GDP Nominal GDP N.I. payments N.P. deficit + Nominal GDP Total Debt x Growth rate of nominal GDP) Nominal GDP Nominal GDP N.P. deficit Total Debt Nominal GDP Nominal GDP N.I. payments Nominal GDP Nominal GDP Total Debt Growth rate of nominal GDP)
Given: Nominal deficit = Nominal primary deficit + Nominal interest payments Change in debt-GDP ratio = Deficit Nominal GDP Total debs xGrowth rate of nominal GDP) Nominal GDP From the given information, change in debt-GDP ratio is, N.P. deficit + NI. payments =ADebt-GDP Ratio= Nominal GDP Total Debt Nominal GDF XGrowth rate of nominal GDP) N.P. deficit Nominal GDP N.I. payments Total Deb xGrowth rate of nominal GDP) Nominal GDP Nominal GDP N.I. payments N.P. deficit + Nominal GDP Total Debt x Growth rate of nominal GDP) Nominal GDP Nominal GDP N.P. deficit Total Debt Nominal GDP Nominal GDP N.I. payments Nominal GDP Nominal GDP Total Debt Growth rate of nominal GDP)
Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter1: Welcome To Economics!
Section: Chapter Questions
Problem 26CTQ: Suppose, as an economist, you are asked to analyze an issue unlike anything you have ever done...
Related questions
Question
Hello, I'm trying to figure out how this person got this answer. I get stuck at the line after the fourth equal sign. Could you please explain in detail how this was simplified? Thank you.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Recommended textbooks for you
Principles of Economics 2e
Economics
ISBN:
9781947172364
Author:
Steven A. Greenlaw; David Shapiro
Publisher:
OpenStax
Principles of Economics 2e
Economics
ISBN:
9781947172364
Author:
Steven A. Greenlaw; David Shapiro
Publisher:
OpenStax