Saturday , August 15 2020
Home / Bill Mitchell / The Weekend Quiz – July 25-26, 2020

The Weekend Quiz – July 25-26, 2020

Summary:
Welcome to The Weekend Quiz. The quiz tests whether you have been paying attention or not to the blog posts that I post. See how you go with the following questions. Your results are only known to you and no records are retained. 1. The difference between a situation where the government runs a deficit and matches it with debt-issuance to the non-government sector to a situation where debt is only issued to the central bank is that non-government sector financial wealth rises in the first case.TrueFalse2. If net exports are running at 2 per cent of GDP, and the private domestic sector is saving overall an equivalent of 3 per cent of GDP, the government must be running a surplus equal to 1 per cent of GDP.TrueFalse3. To reduce the public debt ratio, the government has to

Topics:
Bill Mitchell considers the following as important:

This could be interesting, too:

Bill Mitchell writes The Weekend Quiz – August 15-16, 2020

Bill Mitchell writes The Weekend Quiz – August 8-9, 2020 – answers and discussion

Bill Mitchell writes The Weekend Quiz – August 8-9, 2020

Bill Mitchell writes The Weekend Quiz – August 1-2, 2020 – answers and discussion

Welcome to The Weekend Quiz. The quiz tests whether you have been paying attention or not to the blog posts that I post. See how you go with the following questions. Your results are only known to you and no records are retained.

The Weekend Quiz – July 25-26, 2020

1. The difference between a situation where the government runs a deficit and matches it with debt-issuance to the non-government sector to a situation where debt is only issued to the central bank is that non-government sector financial wealth rises in the first case.



2. If net exports are running at 2 per cent of GDP, and the private domestic sector is saving overall an equivalent of 3 per cent of GDP, the government must be running a surplus equal to 1 per cent of GDP.



3. To reduce the public debt ratio, the government has to eventually run primary fiscal surpluses (that is, spend less than they raise in taxes net of interest payments on past debt).





Bill Mitchell
Bill Mitchell is a Professor in Economics and Director of the Centre of Full Employment and Equity (CofFEE), at the University of Newcastle, NSW, Australia. He is also a professional musician and plays guitar with the Melbourne Reggae-Dub band – Pressure Drop. The band was popular around the live music scene in Melbourne in the late 1970s and early 1980s. The band reformed in late 2010.

Leave a Reply

Your email address will not be published. Required fields are marked *