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But this declining ratio is deceptive.
Add in the increase in the public sector workforce in recent decades and the declining ratio of workers to pensioners, and you arrive at the second reason ministers think something has to be done: cost.
Right now, given reasonable estimates of likely future growth and inflation, we would have a stable or declining ratio of debt to G.D.P. even if we had a $400 billion deficit.
Crawford also cites a declining ratio of new highs to new lows, as well as a rising Volatility Index (VIX).
A company with a declining ratio may be destined to go into hock to pay its bills.
It is also consistent with rising labor productivity and declining ratio between effective labor and capital found in many of these countries.
Similar(51)
Are generous welfare states sustainable in countries with declining ratios of young workers to pensioners?
Increase in C i might be partly explained by declined ratios of Chl a/b and Chl/Car, enhanced peroxidation in chloroplasts, weakened activities of sucrose-metabolizing enzymes, and accelerated senescence of endopeptidase.
The decrease in PC resulted in overall declined ratios of phosphomonoester (PME) to phosphodiester (Pozzi et al, 2004).
The highest income households also saw their incomes grow by less than their spending, but retained a positive – although declining – savings ratio.
The short-run objective is to return Greece, Portugal, and other troubled countries to a sustainable debt path (that is, a declining debt/GDP ratio).
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com