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Question

Which of the following debts is comparatively greater than the other debt as a percentage of the Gross Domestic Product of India?


A

Internal debt

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B

External debt

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C

Both A and B

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D

None of the above

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Solution

The correct option is D

None of the above


The share of internal debt to total debt has increased over the years. The internal debt as a percentage of the Gross Domestic Product (GDP) of India has increased from 27% to 38% from 1990-91 to 2008-09 while the external debt as a percentage of the GDP has decreased from 5.5% to 2.3% during the same period.


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