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Answer:
There is no general debt-to-gdp ratio rule because a bond yield depends on many other factors, not only on debt-to-gdp ratio.
For example, the United States has a very high debt-to-gdp ratio of over 100%, but the US bond is considered to be the safest bond in the market, has a high credit rating of AA+ according to Firtch, Moody's and S&P, and is a cheap bond because interest rates in the US are low, so the coupon payments are low as well.
The yield to maturity of a 10 year US bond is around 2%. Therefore, what all this information is telling us, is that even if debt-to-gdp ratio in the US continues to increase, the US bonds yields will probably continue to be stable. They will not spike because the debt-to-gdp ratio increases.
There is no general rule because a bond yield depends on many other factors not only on debt-to-gdp ratio.
What is a debt-to-gdp ratio?
The debt-to-gdp ratio means a metric for comparing a country's public debt to its gross domestic product (GDP).
In conclusion, there is no general rule because a bond yield depends on many other factors not only on debt-to-gdp ratio.
Read more about debt-to-gdp
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