Open AccessRelationship between Public Debt and Economic Growth of a Country
Author(s) -
T. Vinu Charles,
K. Anandanatarajan
Publication year - 2018
Publication title -
asian journal of managerial science/asian journal of managerial science
Language(s) - English
Resource type - Journals
eISSN - 2583-9810
pISSN - 2249-6300
DOI - 10.51983/ajms-2018.7.2.1307
Subject(s) - debt , external debt , economics , foreign direct investment , developing country , monetary economics , international economics , economic policy , development economics , macroeconomics , economic growth
A country’s economic growth depends on its GDP, resources, and how perfectly it handles its finances as a whole. Specifically the public debt influences a lot on the economic growth, in the history the developed economy has testified as a lender to nations rather than the borrower. The key source on maintaining the economic growth is to take care of its debt, which will also increase its status on BoP and in turn bring in many FDI and FII into the country which has a direct reflect on the growth of the country as an increment in the GDP. The study is made to understand the influence of the public dept on the country’s economic growth.