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Public debt classification: Which item is not counted as ‘‘national debt’’ of the Union? National debt generally refers to the Central Government's public debt obligations. Choose the correct option.

Q: Public debt classification: Which item is not counted as ‘‘national debt’’ of the Union? National debt generally refers to the Central Government's public debt obligations. Choose the correct option.

Concept ‘‘National debt’’ typically denotes the Union Government’s public debt. State Government debt is separate and not part of the Union’s national debt tally. Final Answer Debt of State Governments

Difficulty: Medium

Debt of State Governments
Market loans of the Central Government
Treasury bills issued by the Central Government
External sovereign loans contracted by the Union

Correct Answer: Debt of State Governments

Explanation:

Concept

‘‘National debt’’ typically denotes the Union Government’s public debt.
State Government debt is separate and not part of the Union’s national debt tally.

Final Answer
Debt of State Governments

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