Suppose in the Beginning of 2006, a Country Has a National

question 6

Multiple Choice

Suppose in the beginning of 2006, a country has a national debt of $5,000 billion.Its GDP in
2006 is $20,000 billion and its budget surplus of $130 billion.Compute its debt-GDP ratio at the
End of the year.

• A)2.6%
• B)25%
• C)24.4%
• D)6.5%

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