What balacne have to be during the government second year

Reference no: EM13239984

Suppose a government began the year with a debt load of $500, an interest rate of 5% and ran a deficit of $50.
At the end of its second year to maintain the same debt load of $500, with which it began what would its fiscal policy regarding its budget balacne have to be during the government second year?

Reference no: EM13239984

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