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In a spreadsheet, decompose the change in the debt ratio from 2020 to 2025 into its key drivers
using the equation for debt accumulation that we studied in class (shown above) and data from
Budget 2023 Economic & Fiscal Outlook. (ii) Construct a table summarising how each of the three
components of the equation contributed to changes in the debt ratio during the COVID-19
pandemic as well as their expected contributions in the years ahead. (iii) Comment briefly on how
each of these drivers have contributed to changes in the debt ratio during the pandemic and in the
years ahead.

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In a spreadsheet decompose the change in the debt ratio fro.pdf

  • 1. In a spreadsheet, decompose the change in the debt ratio from 2020 to 2025 into its key drivers using the equation for debt accumulation that we studied in class (shown above) and data from Budget 2023 Economic & Fiscal Outlook. (ii) Construct a table summarising how each of the three components of the equation contributed to changes in the debt ratio during the COVID-19 pandemic as well as their expected contributions in the years ahead. (iii) Comment briefly on how each of these drivers have contributed to changes in the debt ratio during the pandemic and in the years ahead.