Net Debt Per Capita

AAA

DEFINITION of 'Net Debt Per Capita'

A measurement of the value of a government's debt expressed in terms of the amount attributable to each citizen under the government's jurisdiction. It is commonly computed using the following formula:

Net Debt Per Capita

INVESTOPEDIA EXPLAINS 'Net Debt Per Capita'

The level of net debt per capita is an important factor to consider when analyzing a government's ability to continue to pay its debt service costs through its current levels of tax revenue. In other words, this measure helps indicate the default risk of government bonds.

RELATED TERMS
  1. Whoops

    Slang for the Washington Public Power Supply System (WPPSS), ...
  2. Government Security

    A bond (or debt obligation) issued by a government authority, ...
  3. Default Risk

    The event in which companies or individuals will be unable to ...
  4. Municipal Bond

    A debt security issued by a state, municipality or county to ...
  5. Net Debt

    A metric that shows a company's overall debt situation by netting ...
  6. Per Capita

    A Latin term that translates into "by head," basically meaning ...
Related Articles
  1. Basics Of Federal Bond Issues
    Bonds & Fixed Income

    Basics Of Federal Bond Issues

  2. The Basics Of Municipal Bonds
    Bonds & Fixed Income

    The Basics Of Municipal Bonds

  3. Weighing The Tax Benefits Of Municipal ...
    Taxes

    Weighing The Tax Benefits Of Municipal ...

  4. Where can I buy government bonds?
    Investing

    Where can I buy government bonds?

Hot Definitions
  1. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  2. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  3. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  4. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  5. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  6. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
Trading Center