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Similarly, the sales and manufacturing activities of firms are also affected by unemployment because their low purchasing power leads to a decline in revenue and increases debt (Louzis et al. 2010).
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This has cut down their asset base substantially, which increases debt-to-equity ratios, often significantly.
Investment has turned to increased debt.
It may also increase debt burdens.
"We did not increase debt.
Mr. Steuerman himself was facing increasing debt.
Big oil producers are the same, he says: they pay their dividends by increasing debt.
Those promises now mean higher annual payments to pay off this increased debt.
They may not be repayable until 2037 but they represent an ever increasing debt burden.
But such redevelopment cannot come at the expense of increasing debt statewide, he said.
We've seen late budgets, bad budgets, increased debt and critical problems left unresolved.
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