Multiple Choice
One of the main problems with a large national debt is the fact that:
A) it may cause the government to go bankrupt.
B) large sums of money must be raised to ultimately repay the debt.
C) the debt may drive up interest rates and slow the rate of capital formation.
D) the repayment of interest causes a burden in that there will be fewer goods and services available.
Correct Answer:

Verified
Correct Answer:
Verified
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