Question regarding the retiring federal debt

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Reference no: EM131114760

Use the following data for the next two questions:

Year

Net Taxes (in millions of dollars)

Government Purchases (in millions of dollars)

2010

$2.0

$ 2.3

2011

3.0

3.1

2012

3.2

3.0

2013

2.9

3.0

2014

3.2

2.9

1. Suppose the national debt is $47 million at the end of 2009. Assume that all surpluses go to retiring federal debt. Then, what is the national debt at the end of 2014?

2. Less than $44 million

3. Between $44 million and $46 million

4. Between $46 million and $48 million

5. Between $48 million and $50 million

6. Greater than $50 million

2. During which of the above years is public savings positive?

1. None of them

2. 2012 and 2014

3. 2010, 2011, and 2013

4. All of them

Reference no: EM131114760

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