What is Internal Debt?

Q: What is the relationship between a budget deficit and the national debt? A budget deficit adds to…

A: A budget deficit is the excess of government spending over government taxes.  i.e., Budget deficit =…

Q: What are the consequences of a high Debt to GDP ratio for the economy?

A: The debt-to-GDP ratio is the ratio of a country's government debt and its gross domestic product…

Q: Why is it important to consider the debt-to-GDP ratio rather than just the absolute amount of the…

A: The measure used to compare a nation's public debt to its gross domestic product is called the…

Q: explain the purposes, tools, and limitations of fiscal policy?

A: The economies around the world tend to work with the motive and objective of increasing their…

Q: What are the budget revenues for a government to finance government spending?

A: Budget revenues are detailed information of revenues  receipts and expenditures of the government.…

Q: Differentiate between the following terms: a. a budget deficit.  b. the government debt.  c. a…

A: a. When the expenditure of individuals, Government, or company surpass the revenue then it is called…

Q: Your Finance Minister considers making a tax reform. He asks you, as a senior tax administrator, to…

A: There are five basic requirements that must be satisfied by a good tax system : Fairness Adequacy…

Q: What is the meaning and definitions of fiscal policy?

A: Fiscal policy is implemented by the government of a country. Money supply refers to the total volume…

Q: A government finances all of its debt through 1-year treasury bonds. This government is able to…

A: The debt-to-GDP ratio is the percentage of a country's debt to its GDP. It is used to measure a…

Q: Why might economists be quite concerned if the annual interest payments on the U.S. public debt…

A: If the annual interest payments on debt increased sharply, government spending on debt will increase…

Q: Establish and explain the Debt-GDP ratio

A: The debt - to - GDP ratio is the metric contrasting the public debt of a country with that of its…

Q: budget deficit and national debt.

A: Budget deficit: It is the difference between total receipts & expenditure in both revenue &…

Q: Calculate the value of interest payment when the primary deficit is given as $9932billion and the…

A:

Q: What is Regressive Tax?

A: Generally, there are two types of taxes one is lump-sum tax and the other one is a specific tax or…

Q: Should the federal income tax structure be changed 3 reasons why it should be changed. 3 reasons why…

A: For the salaried who have practiced a specific alternative with the business can settle on another…

Q: Examples of a long term debt cycle

A: Bonds would be example of long term debt cycle.Bonds are sold and bought and it takes time for bond…

Q: How does the Expansionary and Contractionary Fiscal Policy affect the Inflation, GDP, Economic…

A: The government uses fiscal policy to increase or decrease the aggregate output. It can increase or…

Q: What is public debt? Why public debt a burden on future generation?

A: Public debt refers to the entire amount borrowed by the government to meet its development budget,…

Q: What are the positive and negative impacts of fiscal policy on businesses within an economy?

A: Fiscal policy refers to the policies of expenditures and taxes of the government of a country. It…

Q: Explain the objectives of  the fiscal policy.

A: In an economy, fiscal policy refers to the government action and it's intervention in the market by…

Q: What is the relationship between budget deficit and debt ratio to Gross Domestic Product (GDP)

A: A budget deficit shown when expenses exceed revenue and indicate financial condition of a country.…

Q: Discuss the relationship between revenue deficit and fiscal deficit

A: We know that the budgetary deficit is of three types which are revenue deficit, fiscal deficit and…

Q: A government finances all of its debt through 1-year treasury bonds. This government is able to…

A: In economics, the debt-to-GDP ratio is the proportion of a country's debt to its gross domestic…

Q: what is Regressive Tax System in economics?

A: A regressive tax system refers to the system of taxation where tax rate and taxable amount are…

Q: equal to $1,000. What is the value of government purchases? And would the government have a budget…

A: For a closed economy, the output is sum of investment(G), consumption(C) and net government…

Q: What is regressive and degressive tax?

A: In order to raise money for important public projects like providing the best infrastructure and…

Q: By how much would taxes have to rise as a share of GDP in order to “solve” the Social Security…

A: Social Security has a basic math problem which is long-known which indicates that more money would…

Q: Briefly explain the following concepts: a. Progressive tax structure b. Crowding-out effect

A: a) The progressive tax structure is a system in which the tax rate increases as the taxable income…

Q: What are problems that governments may encounter in enacting and applying fiscal policy? Explain the…

A: Fiscal policy is tools available to government to counter the economic imbalances, using an…

Q: What is the main reason for employing expansionary fiscal policy during a recession?

A: Fiscal policy is an instrument used by the government and the central bank to look on to the…

Q: What is government surplus or deficit

A: Equilibrium level of formula;  Y = C + I + G

Q: Explain how corporate profits are taxed twice

A: Taxes refer to the fees that is charged by the government on various entities of the economy. The…

Q: Why will direct taxes increase faster than per capita income?

A: In an economy, the government imposes taxes on the income of the people in different ways such as…

Q: What are the limits of fiscal policy?

A: Fiscal policy:- It is the government mechanism to either control the level of economic activities.…

Q: List the main categories of federal revenue and spending and describe the difference between…

A: Apart from maintaining law & order and protecting a nation against external threats (national…

Q: When governments run budget deficits, how do they make up the differences between tax revenue and…

A: A government budget is a statement of its planned expenditures and revenue receipts for a given time…

Q: (Federal Debt) What has happened to the federal debt since 2008 as measured relative to GDP?

A: The federal debt is the total amount of money that the federal government owes to its investors or…