List and evaluate three common fears about the national debt. Explain the distinction betwwen growth and austerity strategies to reduce the national debt.
The national debt or public debt is any financial duty (such as loans or bonds) assumed by the government where it agrees to make principal payments and interests on specific dates. National government debt includes debt of the department of the central bank, the national treasury and corfo. There is also foreign debt associated with sovereign bonds issued abroad and government notes in USD the public owes the central bank and notes supplied by the central bank (BCD, BCU, BCP, and BCR among others).
Answer and Explanation: 1
Three common fears about national debt include an increased risk of a government default. The likelihood of a government to default loan increases as...
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fromChapter 13 / Lesson 12
Learn about short-term gross domestic product and national debt from the perspective of famed economist John Maynard Keynes. Discover how Keynes' Theory and ~'Keynesian economics~' can influence policymaking decisions during a financial crisis.