Sajnoski, Krste (2013) Debt–to-GDP Ratio and the rate of indebtedness of the Republic of Macedonia. Journal of sustainable development, Integrated Business Faculty - Skopje. ISSN 1857-6095
Preview |
Text
Trud - Debt-to-GDP ratio- prv.pdf Download (342kB) | Preview |
Abstract
Even after a long usage, the indicator Debt-to-GDP ratio of the public debt has been arousing opposing views in terms of its importance in assessing the rate of indebtedness of a particular country or groups of countries. Hesitations are being caused by cases in which countries with lower Debt-to-GDP ratio run into debt crisis whereas those with higher Debt-to- GDP ratio have no problem with discharging the public debts.
At the end of 2012, the indicator signifying the ratio of the public debt to GDP in the Republic of Macedonia stood at 30%. The announcement that the Government plans to get into debt of new 300 million euros, has caused ‘a storm’ at the Parliament upon handing down the budget of 2013. The Government defended the move to indebtedness, pointing out that the above mentioned per cent turns the country to low-indebted countries and according to this, it has a margin for new debts whereas the Opposition has objected to this asserting that such a move leads the country into reaching a debt crisis. There have arisen diametrically opposing views on the same fact.
In this supplement, we would deal with the importance of Debt-to-GDP ratio; we would explain why countries with very high Debt-to-GDP ratio have less problems with the servicing of public debt than countries with low Debt-to-GDP ratio and in that context, we would deal with the ratio of indebtedness of the Republic of Macedonia.
| Item Type: | Article |
|---|---|
| Subjects: | Social Sciences > Economics and business |
| Divisions: | Faculty of Economics |
| Depositing User: | Krste Sajnoski |
| Date Deposited: | 19 Sep 2013 13:07 |
| Last Modified: | 19 Sep 2013 13:07 |
| URI: | https://eprints.ugd.edu.mk/id/eprint/7409 |
Actions (login required)
 |
View Item |