What two factors could reduce the net economic burden that might be shifted to future generations from the public debt?

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: In what ways do future generations benefit from this generation’s deficit spending?  Cite three…

A: Public deficit: It refers to the situation in which government expenditure exceeds its revenue…

Q: What are the implications of the current fiscal stimulus and low interest on the future of our…

A: A stimulus package is defined as a coordinated measure by the government to lift the economy out of…

Q: What would happen if contractionary fiscal policy were implemented during an economic boom but,due…

A: The fiscal policy is a policy of the government which includes instruments namely taxes, government…

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

A: Fiscal policy refers to the measures adopted by the government, involving the revenue collection and…

Q: Q.Discuss Bangladesh's current debt-to-GDP ratio and identify the government's non-banking borrowing…

A: The economics as a study is based upon the idea that the resources which the economies have tend to…

Q: Discuss one likely affect of fiscal policy financed via the accumulation of additional government…

A: Fiscal policy is related to government spending and use of taxes as well as subsidies for the…

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: Do you believe the traditional or the Ricardian view of government debt? Justify your response?

A: The traditional view of government debt assumes that when the government lowers taxes and runs 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: What are the objects of public debt?

A:

Q: The Government Debt Limits in USA is a hot topic, currently being debated in Congress. Should the…

A: The national debt level has been a huge subject of debate for U.S. domestic policy. Given the…

Q: Suppose that in 2016 the federal government spent $680 billion and collected $480 billion in taxes.…

A: The government budget gives the summary of the expenditure and revenues of the government. The…

Q: Why most central banks no longer buy public debt in the primary market?

A: Primary market is the place where in securities are being created. In this market the firms sell new…

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: Crowding out can be avoided temporarily if the goverment's debt is internationalized. 1. True 2.…

A: The government raises the fund to finance its welfare activities. The rise in the debt of government…

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: Which of the following is true?   a. The size of the national debt currently is about the same size…

A: a. The debt to ratio hits its all-time record of 113% by the end of the war ended. In 1946, the…

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: Discuss the two (2) main tools that a government can use to implement fiscal policy.

A: The term 'fiscal' relates to the government's budget and signifies 'budget.' Fiscal policy is the…

Q: Explain each of the tools that exist in expansionary fiscal policy and contractionary fiscal policy.

A: Fiscal policy is the use of government spending and taxation to adjust the economy. It is a method…

Q: List what specific, deliberate actions the federal government could take to enact expansionary…

A: Expansionary fiscal policy is aimed at increasing aggregate demand when the economy is in a…

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: In 2016, the policy makers of the of Eastlandia projected the debt-GDP ratio and the ratio of the…

A: Given: Real GDP is currently = $1,000 billion per year Real GDP is expected to grow at = 3% per year…

Q: Derive and discuss the three major fiscal policy multipliers

A: Assuming an open economy where output is exactly equal to the sum of consumption expenditure,…

Q: How do economists distinguish between the absolute and relative sizes of the public debt? Why is the…

A: Absolute size of the public debt: It is the total accumulation of the deficits (minus the surpluses)…

Q: Explain the 3 types of lag we should be concerned about when implementing fiscal policy?

A: When a policy is implemented there are certain lags due to the difference in the period when the…

Q: explain the impact of balanced budget on national debt

A: Primarily. lets clear on two basic concepts that will be used in the question under consideration:…

Q: In addition to issuing bonds, explain any two major ways the government can raise revenue to finance…

A: In n economy, financing government debt is necessary to reduce the burden of future generation and…

Q: Why might economists be quite concerned if the annual interest payments on the debt sharply…

A: The standard measure of value-added produced during a certain time by manufacturing goods and…

Q: If a government runs a budget deficit of $10billion dollars each year for ten years, then a surplus…

A: The deficit accumulated after 10 years of budget deficit will be: budget deficit=10×10=$100 billion…

Q: What issue or problem in the economy would be fixed with expansionary fiscal policy? Contractionary…

A: Expansionary-Fiscal policies are targeted towards increasing the consumption in the…

Q: In case the government is experiencing deficit in its budget, it resorts to borrowing to close the…

A: The budget deficit is an excess of government (G) expenditure over G revenues. To close the deficit,…