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TRUE/FALSE
As of 2010, interest payments on the federal debt exceeded 10% of total
expenditures.
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- Ghana has continually seen an increase in its public debt stock from one government to another. Discuss four (4) factors in your personal estimation that have accounted for this phenomenon and what four (4) practical interventions should the government undertake to reduce its public debt stock significantly?An excess of government revenues over expenditures results in a budget deficit True FalseQ)Which of these methods of government deficit finance is MOST likely to crowd out private investment? Please choose the correct answer from the following choices, and then select the submit answer button. Answer choices selling bonds to the public selling bonds to the Social Security Administration selling bonds to the Federal Reserve selling offshore oil leases
- Public debt refers to the total amount of money owed by a government, which can be categorized into ____________, based on where the borrowing occurs, whether domestically or from foreign sources.A) Internal and external debtB) Short-term and long-term debtC) Secured and unsecured debtD) Productive and unproductive debt Note:- Please avoid using ChatGPT and refrain from providing handwritten solutions; otherwise, I will definitely give a downvote. Also, be mindful of plagiarism.Answer completely and accurate answer.Rest assured, you will receive an upvote if the answer is accurate.The total value of all bonds issued by the government of a country constitutes: A. the net national income of the country. B. the GDP gap. C. the national debt of the country D. A recessionary gap. E. an inflationary gap.A government is facing a significant budget deficit due to high levels of public spending and declining tax revenues. To address this, several measures are being considered, including cutting public expenditures, increasing taxes, and implementing more efficient tax collection methods. The impact of a budget deficit on an economy can include increased national debt and potential inflationary pressures. In this situation, the most effective approach to address the budget deficit would be:A) Borrowing more funds internationallyB) Cutting essential public servicesC) Increasing taxes and improving tax collectionD) Privatizing all public services Note:- Please avoid using ChatGPT and refrain from providing handwritten solutions; otherwise, I will definitely give a downvote. Also, be mindful of plagiarism.Answer completely and accurate answer.Rest assured, you will receive an upvote if the answer is accurate.
- Contrast government debt with budget deficit or surplus.When the U.S. debt-to-GDP ratio has fallen, it has generally been because: the budget deficit fell. the budget deficit rose. income fell. income rose. multiple choice, which is correct Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.Unlike households, governments are often able to sustain large debts. For example, in 2013, the US government’s total debt reached $17.3 trillion, approximately equal to 101.6% of GDP. At the time, according to the U.S. Treasury, the average interest rate paid by the government on its debt was 2.0%. However, running budget deficits becomes hard when very large debts are outstanding. (a) Calculate the dollar cost of the annual interest on the government’s total debt assuming the interest rate and debt figures cited above.(b) If the government operates on a balanced budget before interest payments are taken into account, at what rate must GDP grow in order for the debt-GDP ratio to remain unchanged.(c) Calculate the total increase in national debt if the government incurs a deficit of $600B in 2014.(d) At what rate would GDP have to grow in order for the debt-GDP ratio to remain unchanged when the deficit in 2014 is $600B?(e) Why is the debt-GDP ratio the preferred measure of a country’s…