Public debt/Addendum

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Revision as of 16:24, 20 March 2009 by imported>Nick Gardner (New page: {{subpages}} :::ΔD = (D + F + Dr)/{Y(1 + r)} - D/Y let 1/{Y(1 + g)} = A then: :::= A(D + F ...)
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This addendum is a continuation of the article Public debt.
ΔD = (D + F + Dr)/{Y(1 + r)} - D/Y

let 1/{Y(1 + g)} = A then:

= A(D + F + Dr) - D/Y
= A( D + F + Dr  - D/AY)
= A( D + F + Dr - D - Dg)

substituting for A:

= {F + D(r - g)}/{Y(1 + g)}

or, approximately

= {F + D(r - g)}/Y