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What is the debt-gdp ratio for last year

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The SPENDLAND's GDP and debt last year was $4000 billion and $2000 billion, respectively. This year, the government revenue is $800 billion and the goernment expenditure is $1000 billion. suppose the interest rate payable on government debt is 10%

1. What is the debt-GDP ratio for last year? this year?

2. How much did the debt-GDP ratio change?

3. Explain why the debt-GDP ratio changed?

Reference no: EM131160069

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