Debtor Nation - Explained
What is a Debtor Nation?
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What is a Debtor Nation?
A debtor nation is a nation that owes more to the other countries than its total investments in other countries. In other words, it is a country with a cumulative balance of payment deficit.
Example of a Debtor Nation?
The USA is considered to be a debtor nation, as it owes more to the other countries than other nations owes to it. Among other debtor countries, there are Greece, Portugal, Brazil, India, and others.
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- Contractionary Fiscal Policy
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- Marginal Tax Rates
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- Trickle Down Theory
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- Government Investment in Physical Capital
- Public Investment in Human Capital
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- Economic Cycle or Business Cycle
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- Great Depression
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