User:DeficitSpender/Sandbox5: Difference between revisions

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==Debt==

[[File:TNO Economy National Debt.png|220px|right|link=]]

The {{color|lightcoral|National Debt}} is another mechanic of the Economy in TNO. It has a ceiling determined by one's [[Credit Rating|credit rating]]. It reduces when the budget is in{{icon|usdgreen}}{{color|palegreen|surplus}} but worsens if the budget is in{{icon|usdred}}{{color|lightcoral|deficit}}. {{color|lightcoral|Debt}} is paid over time according to the {{color|yellow|Interest Rate}}.

The {{color|lightcoral|National Debt}} is another mechanic of the Economy in TNO. It has a ceiling determined by one's [[Credit Rating|credit rating]]. It reduces when the budget is in{{icon|usdgreen}}{{color|palegreen|surplus}} but worsens if the budget is in{{icon|usdred}}{{color|lightcoral|deficit}}. {{color|lightcoral|Debt}} isn't necessarily is a bad thing, as it can allow the economy to grow even when running a deficit. A large amount of {{color|lightcoral|Debt}} however, can take a toll on the budget and can lead to a {{color|lightcoral|fiscal crisis}} if the repayment becomes too large. {{color|lightcoral|Debt}} is paid over time according to the {{color|yellow|Interest Rate}}.

The {{color|yellow|Interest Rate}} multiplied by the {{color|lightcoral|National Debt}} is added to {{color|lightcoral|Expenditures}} as {{color|orange|Debt Servicing}} and is paid monthly.