Most of the National debts are “dead weight” in the sense that is?

A. bound to increase from year to year
B. accumulated as a result of past capital investment
C. the responsibility of the treasury
D. not covered by any real asset

Correct Answer: Option D

D. not covered by any real asset

Explanation

Dead weight is a debt that is incurred to meet current needs without the security of an enduring asset. It is usually incurred by the government.