Write down the government budget constraint faced

Reference no: EM133614583

Problem: Assume that = 3, and therefore the are three periods, = 1, 2, 3. There is an initial level of government debt equal to 0, inherited from the past, for which interest payments are due in the first period. The interest rate is constant overtime and equal to. Write down the government budget constraint faced by the government in each period.

Reference no: EM133614583

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