A country is growing at 3% and has a debt/GDP ratio of 50%. Assuming no money financing, what is the priímary budget deficit/surplus that keeps the debt/income ratio constant when (i) The real interest rate is 2%?(i) The real interest rate is 5%?
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- The government budget is in DEFICIT when Taxes (T) - G > 0 Government expenditures (G) - Investment expenditures (I) 0 OT-G- Transfers (TR) - Interest on the Debt (INT) < 0How will the deficit for the bottom line budget of $3.1 trillion affect the economy?Define government budget in not more than 3 lines
- The government budget is in DEFICIT when T - G - Transfers (TR) - Interest on the Debt (INT) < 0 Government expenditures (G) - Investment expenditures (I) < 0 Taxes (T) - G > 0 G - Consumption expenditures (C ) - I > 0What is public debt? Why public debt a burden on future generation?How does the typical state budget process work, and what are the various actors involved in that process? What are the main characteristics of a sustainable budget? What are the main sources of revenues for states and local governments? Is it possible to balance the demands for government services with existing revenue sources? What have been the various approaches advocated to reform budgeting processes at the state and local levels? What are the five key areas of future state and local budget needs? Which one do you think is the most critical and why? Explain. assignment #10 be sure to cite your source(s) using APA Style
- Determine the state of the budget (in deficit, in balance, in surplus), if: Government spending on the economy is 5000 monetary units, while rate of taxes incomes is 7000 monetary units. Public transfers are purchased in the amount of 1100 monetary units. The national debt is 9000 monetary units, so the State spends 10% per annum to pay this loan off.How will the debt held by the public for the bottom line of $17.7 affect our economy?The government budget is in DEFICIT when OT G-Transfers (TR) - Interest on the Debt (INT) 0 Government expenditures (G) - Investment expenditures (I) 0