ZuoTi.Pro
Question

The U.S. national debt has recently surpassed $22 trillion (see the attached file). How do you feel the current government de
National debt hits new milestone, topping $22 trillion By MARTIN CRUTSINGER February 13, 2019 WASHINGTON (AP) — The national
National debt hits new milestone, topping $22 trillion rage zor The debt figure has been accelerating since the passage of Tr
The Trump administration contends that its tax cuts will eventually pay for themselves by generating faster economic growth.
business   economics   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

The high degree of national debt to GDP ratio is mounting and is cause if worry as government will have to borrow money to fund the fiscal deficit which is looming and hence the demand for money increases causing the overnight interest rate to go high as well. Moreover higher debt and inability to service it will affect sovereignty rating of US economy.

The current government actions lead to ballooning bubble which can burst and cause widespread financial crisis. The only way out here is debt refinancing and increasing tax buoyancy by widening tax base to cut down debt.

PLEASE UPVOTE INCASE YOU LIKED THE ANSWER WILL BE ENCOURAGING FOR US THANKYOU VERY MUCH

0 0
Add a comment
Know the answer?
Add Answer to:
The U.S. national debt has recently surpassed $22 trillion (see the attached file). How do you...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • The United States is over $22 trillion dollars in debt, with year after year of deficits...

    The United States is over $22 trillion dollars in debt, with year after year of deficits adding to that total. There is no easy solution to this national crisis- You can cut spending but which federal programs will lose their funding? Or you can raise taxes, but that means less money in American's pockets- Regardless of the proposed solution, unintended consequences will arise. What strategy should the national government utilize in order to get America out of debt? Balanced budget...

  • Hi can you help make a summary about this short article and how it affects me...

    Hi can you help make a summary about this short article and how it affects me economically as US citizen ? Federal spending outpaced revenue by $317 billion over the first three months of fiscal 2019, according to the Congressional Budget Office.CreditSarah Silbiger/The New York Times Image Federal spending outpaced revenue by $317 billion over the first three months of fiscal 2019, according to the Congressional Budget Office.CreditCreditSarah Silbiger/The New York Times By Jim Tankersley Jan. 8, 2019 WASHINGTON —...

  • 18. Suppose that at the end of 2014, the government holds debt of $150 billion, has collected tax revenue of $50 billio...

    18. Suppose that at the end of 2014, the government holds debt of $150 billion, has collected tax revenue of $50 billion, and has spent $75 billion. The national debt at the beginning of 2015 is: A) $25 billion. B) $125 billion. C) $175 billion. D) $275 billion. 19. What approach to federal finance would you agree with if you wanted federal government revenues to equal federal government expenditures every year? A) annually balanced budget B) cyclically balanced budget C)...

  • A Game of Political Chicken In 2010, the U.S. Congress set a ceiling of $14.3 trillion...

    A Game of Political Chicken In 2010, the U.S. Congress set a ceiling of $14.3 trillion on the amount that the federal government could borrow. However, government spending was fast outrunning revenues, and, unless Congress voted to increase the debt ceiling, the U.S. government forecasted that by August 2, 2011, it would run out of cash to pay its bills. It would then face a stark choice between drastic cuts in government spending or defaulting on its debt. Treasury Secretary...

  • Use the following information to determine the equilibrium Y in a 3-sector model: Y = C+I+G...

    Use the following information to determine the equilibrium Y in a 3-sector model: Y = C+I+G where: C= 150+ 0.8DI | = 50 G = 200 Also assume that T = Tr = 0 DI = Y-T+ Tr $150 $400 $750 $2,000 $4,000 Question 22 (2.5 points) Which of the following actions will increase budget deficits and also the national debt? government spending decreases tax decreases money supply decreases transfer payment decreases real interest rate decreases Question 24 (2.5 points)...

  • 5) In recent weeks the stock markets in the Wall Street has show an unexpected level...

    5) In recent weeks the stock markets in the Wall Street has show an unexpected level of ups and downs mainly attributed to the uncertainty of healthcare reform under Trump administration and retail stores closing such as Macys’, JCPenny, Sears, another possible cutting govt. programs (in an effort to reduce budget deficit). In the process, the value of the $ has risen against the Euro, the Yuan (Renminbi), yen and many other currencies. A) Given the current condition of the...

  • FISCAL POLICY IN THEORY: March, 2020: we are on the verge of Congress and the President...

    FISCAL POLICY IN THEORY: March, 2020: we are on the verge of Congress and the President passing legislation that will empower the federal government to spend an unprecedented amount of EXTRA money not seen since World War 2 ---- in order to address the pandemic but also to help cushion the blow financially of perhaps ten or twenty million Americans --- or more --- losing their jobs, and thus suffering a drop in income. The scale of the 2020 recession...

  • Which of the following describes what the Reserve Bank of Australia would do to pursue an...

    Which of the following describes what the Reserve Bank of Australia would do to pursue an contractionary monetary policy? Use open market operations to buy bonds and securities. Use open market operations to sell bonds and securities Use open market operations to increase the overnight cash rate. Increase interest rates on mortgages and corporate loans. The Reserve Bank of Australia manages the supply of cash on a daily basis to ensure that every bank has sufficient cash to meet the...

  • The budget surplus trap — why it may prove elusive By business editor Ian Verrender Posted...

    The budget surplus trap — why it may prove elusive By business editor Ian Verrender Posted 23 Sep 2019, 4:25am Josh Frydenberg gestures during a press conference. PHOTO: Treasurer Josh Frydenberg announced an end to a decade of deficits on Thursday. (ABC News: Tamara Penniket) RELATED STORY: Balanced budget means the Government is 'working against' the Reserve Bank's efforts to boost the economyRELATED STORY: Budget comes in $13.8 billion better off than first projectedRELATED STORY: 'How'd you go broke? Slow...

  • For this discussion activity, you will get insight into the federal budgeting process and how key...

    For this discussion activity, you will get insight into the federal budgeting process and how key allocation decisions are made. As part of that effort, you will work through the National Budget Simulation in an effort to achieve a budget deficit of $1400B dollars. Scenario: The President of the United States has been elected on the promise of fiscal responsibility as a key mandate of the electorate. By law, he cannot reduce the net interest paid on the debt. The...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT