Since 1940, the Largest Gross Federal Debt-To-GDP Ratio Occurred During

question 61

Multiple Choice

Since 1940, the largest gross federal debt-to-GDP ratio occurred during ________, when it reached about ________ percent.

• A) 9/11; 90
• B) the oil crisis; 110
• C) the Volcker recession; 50
• D) World War II; 108
• E) the Vietnam War; 65

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Definitions:

Financing Activities

Transactions and events that affect the long-term liabilities and equity of a company, including issuing debt, selling stock, or paying dividends.

Issue of Shares

Refers to the process by which a corporation issues new shares of stock to raise capital, often to expand or to undertake new projects.

Direct Method

A way of reporting cash flows from operating activities by listing major classes of gross cash receipts and payments.

Indirect Method

A way of reporting cash flows from operating activities by starting with net income and adjusting for items that affected reported net income but didn't involve actual cash flows.