Asked by Jocelyn Cooperwood on May 03, 2024
Verified
Which of the following countries has the largest projected net debt as a percentage of their GDP for 2016?
A) Japan
B) The U.S.
C) Germany
D) Italy
E) Australia
Net Debt
The total debt of an entity minus its cash and cash equivalents, indicating its actual financial burden.
GDP
Gross Domestic Product (GDP) is the total monetary or market value of all finished goods and services produced within a country's borders in a specific time period.
- Understand the relationship between public debt and Gross Domestic Product (GDP), along with its effects on economic expansion.
Verified Answer
EL
Eugene LiangMay 06, 2024
Final Answer :
A
Explanation :
Japan has a projected net debt of 124% of its GDP for 2016, which is the highest of all the countries listed. The U.S. has a projected net debt of 77%, Germany has 48%, Italy has 134%, and Australia has 18%.
Learning Objectives
- Understand the relationship between public debt and Gross Domestic Product (GDP), along with its effects on economic expansion.