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What are the consequences of a large national debt

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Assignment: 1. How does the US national debt compare to other industrialized countries, including, China, Germany, Japan, France, Italy, and the United Kingdom?

2. There seems to be a surge in national debt during the G.W. Bush and Obama administrations. Why is that? Name the specific programs and circumstances that contributed to the escalation of the US national debt under these presidents.

3. In general, what are the consequences of a large national debt? Are any of these consequences currently observed in US economy, why or why not?

4. Do you think that the large US national debt is going to hamper the US economic growth as some have claimed?

5. Based on your research, is it possible for the US to default on its debt in the future? Explain.

6. Why the Nobel winning economist, Paul Krugman, is not as alarmed as many others are with respect to the high level of US national debt?

Reference no: EM132417678

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