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Ratio in sentence

1146 examples of Ratio in a sentence

Higher interest rates, in turn, would increase the deficit – and thus the future level of the debt ratio – even more.
So it is important to find ways to reduce the budget deficit and minimize the future debt ratio.
The good news is that a relatively small reduction in the deficit can put the debt ratio on a path to a much lower level.
Cutting the deficit to 2% of GDP, for example, would cause the debt ratio eventually to reach 50%.
The tax rate necessary to fund social spending must equal the ratio of the number of people receiving benefits to the number of taxpayers (the dependency ratio), multiplied by the average benefit relative to the income being taxed (the replacement rate).
This should be combined with the mutualization of some portion of the liabilities of highly indebted countries – defined as a debt-to-GDP ratio above, say, 60% or 70% – and modest write-downs in exchange for long-term zero-coupon bonds.
And, though the People’s Bank of China (PBOC) lowered the reserve ratio in November 2011, and some fiscal stimulus was provided, the government largely refrained from more expansionary economic policies to boost growth.
Moreover, China’s fiscal position remains strong: even after accounting for all sorts of contingent liabilities – such as local-government loans, large project loans, and commercial banks’ non-performing loans in the event of a housing-market crash, China’s public debt/GDP ratio is still below 60%.
Finally, the PBOC still has ample room to lower the reserve ratio and benchmark interest rate, which still stand at 20% and 6% (for one year loans), respectively, without much fear of stoking inflation.
Given a lower growth rate, China’s fiscal position will deteriorate – gradually at first, and then rapidly – with the public debt/GDP ratio eventually rising to an unsustainable level.
The manner in which we use military power also affects Rumsfeld’s ratio.
That rather poor cost-benefit ratio does not appear to be improving.
So Western diplomats who negotiate with China should call lower-level officials’ bluff, and focus on the signal-to-noise ratio, bearing in mind that, ultimately, decisions are taken quietly at a higher level by pragmatic leaders who are indeed susceptible to pressure.
To illustrate the tradeoff (in admittedly simplistic terms), a 14% capital-adequacy ratio for banks may be compared to the objective of stabilizing carbon-dioxide levels in the atmosphere at 450 parts per million, with both targets reflecting caution and a desire for robustness, at an immediate economic cost.
To overcome the SGP's bias against structural reforms, the European Commission asked at this last Ecofin meeting for more discretion and to put more emphasis on (explicit) debt: countries with a lower debt-to-GDP ratio would have greater freedom in fiscal policy.
First, the ratio of capital that Hensarling would require of banks that take an off-ramp is far too low, at 10% of total assets.
As the most recent available data (through March) show, these balances increase the ratio of public-sector debt to GDP by 26%.
That said, the ratio of capital formation does require careful monitoring.
With the dependency ratio – the proportion of children and pensioners relative to working-age men and women – set to rise rapidly in the coming years, economic growth will remain subdued, while health-care and pension costs will increasingly strain government budgets.
The IMF also reckons that the advanced countries must cut spending or increase taxes by nine percentage points of GDP on average over the current decade, in order to bring the public-debt ratio to 60% of GDP by 2030.
Emerging countries, however, do not need any consolidation to keep their debt ratio at 40% of GDP.
Indeed, the sharp acceleration in the debt-to-GDP ratio is partly attributable to the relative underdevelopment of China’s capital market.
Thanks to China’s high saving rate, the country’s banking system had a loan-to-deposit ratio of 74% at the end of 2015, with 17.5% in required reserves held at the central bank.
The capital adequacy ratio was as high as 13.2%.
By any standard, China’s household sector has very low leverage, with a debt-to-deposit ratio of 47.6%.
Indeed, according to the International Monetary Fund, Chinese corporate, government, and household debt has increased by about $23 trillion in the last decade alone, and its debt-to-GDP ratio has risen by around 100 percentage points, to more than 250%.
The rescue program designed to keep Greece from crashing out of the eurozone has raised the country’s debt-to-GDP ratio from 130% at the start of the crisis in 2009 to more than 170% today, with the International Monetary Fund predicting that the debt burden could reach 200% of GDP in the next two years.
In Spain, the public debt-to-GDP ratio is 69%, but the debt of the Spanish banking system totals 305% of GDP, or about €3.3 trillion – about as much as the combined public debt of all five crisis-stricken eurozone countries.
It would stifle growth and increase unemployment – and even fail to decrease the debt-to-GDP ratio.
But the contraction in government spending has been predictably devastating: 25% unemployment, a 22% fall in GDP since 2009, and a 35% increase in the debt-to-GDP ratio.
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