20, 25 (1 complete) This Quiz: 100 ptsp sig Directions: alick on the graph in th
ID: 1117617 • Letter: 2
Question
20, 25 (1 complete) This Quiz: 100 ptsp sig Directions: alick on the graph in the window on the right and select Multiple Time Sories to graph the U.S. gross and not federal debt to GDP ratio for the years 1940-2005. For Y1 select Gross Federal Debt, percentage of GDP and for Y2 seleat Net Federal Dobt, percentage of GDP Rol yorcursor over the plotted lines to identify the data. U.S. Gross and Net Federal Debt as a Percentage of GDP 10- e· Use the figure to help determine which of the following statements are true O A. The graphs of the gross and net federal debt to GDP ratios are similar, but the difference B. Federal us. goss and net debt to GDP ratios follow similar patterns Athough the between the two has been decreasing over time. difference betweon the two was very small during the World War Il yoars, it has been steady from the early 1950s to the late 1980's, and has been increasing since the late 1980's. Therefore, the percentage of U.S. federal debt held by federal government agencies compared to the total publie debt outstanding has been increasing, starting in the early 1990's. O C. The graphs of the two U.S. federal debt to GDP ratios are unrelated to each other OD, Federal us.gross and net debt to GDP ratios fol w exacty the same pattern with the gross debt to GDP ratio, always the same percentago larger than the net debt to GDP ratio. Data source: U.S. Office of Management and Budget Click to select your answerExplanation / Answer
Answer :- Option B). Federal U.S. gross and net debt to GDP ratios follow similar patterns. Although the difference between the two was very small during the World War II years, it has been steady from the early 1950's to the late 1980's, and has been increasing since the late 1980's. Therefore, the percentage of U.S. federal debt held by federal government agencies compared to the total public debt outstanding has been increasing, starting in the early 1990's.
Conclusion :- Option B).
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