Macroeconomics + Economy 2009 Update 18th Edition by Campbell McConnell, Sean Masaki Flynn,Stanley Brue

Exercise 3

How do economists distinguish between the absolute and relative sizes of the public debt Why is the distinction important Distinguish between refinancing the debt and retiring the debt. How does an internally held public debt differ from an externally held public debt Contrast the effects of retiring an internally held debt and retiring an externally held debt.