Multiple Choice
A debt that rises faster than nominal GDP will impose the following opportunity costs in the future:
A) A permanently higher tax burden.
B) A period of inflation.
C) Reduced government outlays relative to GDP
D) Higher taxes relative to GDP.
E) All of the above.
Correct Answer:

Verified
Correct Answer:
Verified
Q77: At the end of 2009,the national debt
Q78: The national debt<br>A) exists because of past
Q79: The sharp rise in the debt-to-GDP ratio
Q80: Countercyclical fiscal policy has a serious problem
Q81: The large U.S.government budget deficits in the
Q83: Government outlays consist of<br>A) all governmental purchases
Q84: Which case represents the largest increase in
Q85: The federal government's budget been in deficit
Q86: The concerns about the 2009 $787 billion
Q87: When calculating the effect of a tax