- 15 Marks
PSAF – May 2017 – L2 – SC – Q5 – Fiscal Policy and Public Finance
Define external debt and discuss causes and adverse consequences of Nigeria's rising debt levels.
Question
The accumulation of external debt is a common phenomenon in developing countries at the stage of development where external resources are needed to bridge budgetary gap.
Required:
a. Explain what is meant by External Debt. (3 Marks)
b. Discuss the causes and likely adverse consequences of the rising level of Nigeria’s total external debt stock. (12 Marks)
Find Related Questions by Tags, levels, etc.
- Tags: Budget Deficit, Economic Consequences, External Debt, Fiscal Policy, Public Finance
- Level: Level 2
- Topic: Fiscal Policy and Public Finance
- Series: MAY 2017
