If the inflation rate is 7 percent, real GDP growth is 2 percent, and the current budget deficit is $100 billion, what must the current national debt be if the debt-GDP ratio is to remain the same?

A) $1,111 billion
B) $2,000 billion
C) $1,429 billion
D) $5,000 billion


A

Economics

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If the wage rate were $420, how many workers would be hired?


A. 1
B. 2
C. 3
D. 4

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Over the two decades leading up the 2008 crisis, ________ interest rates meant that consumers could take on ________ debt without significantly increasing the amount of debt service they had to pay.

A. falling; less B. falling; more C. rising; more D. rising; less

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The table below shows the cyclically adjusted budget surplus as a percentage of GDP over a five-year period.YearSurplus(+)11.0%20.930.540.251.5Refer to the above information. In which year(s) was fiscal policy expansionary?

A. Years 1 and 5 B. Year 4 only C. Year 2 only D. Years 2, 3, and 4

Economics