Increasing Government Debt Relative to GDP Does Not Cause Which

question 129

Multiple Choice

Increasing government debt relative to GDP does not cause which of the following?

• A) Crowding out
• B) An opportunity cost for the funds used to service the debt
• C) The possibility of higher taxes in the future
• D) Lower interest repayments relative to the size of GDP

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Definitions:

Outliers

Describes data points that differ significantly from other observations; these can arise due to variability in the measurement or indicate experimental error.

Three Decimal Places

A numerical representation accurate to the thousandth place, often used for precision in calculations and reporting.

Skewed Distributions

Describes asymmetrical distribution of values in a dataset, where the majority of data points are located on one side of the mean, leading to a tail in the opposite side.

Categorical Variables

Variables that represent types or categories, which are not numerical and express qualitative attributes.