Secret Squirrel has had his attention drawn to America, and it's staggering debt,but on pondering national debt, taking in European nations national debts, has made a fascinating discovery. The debts you see, calculated in dollar figures, are balance calculated against the GDP(Gross Domestic Product,or productivity of a nation as it were), as a percentile. Interestingly,while America is shocked at it's 14.3trillion dollar national debt,coming in at 60% of GDP, other nations, particularly Europeanones, have much higher GDP percentile figures! And then Squirrel looked at some other nations, and discovered much lower,many times lower, GDP debt percentiles!
Well, what is the how and they why?Well, first let's ponder the headlines as they scream at us, those with respect to America,well,what do the headlines read?
Here we start with our epistle,and we commence,as quoted..........
US Set To Reach $14.3 Trillion 'Debt Ceiling'
(from........)
http://news.sky.com/skynews/Home/World-News/Video-America-To-Reach-Debt-Ceiling-143-Trillion-Congress-To-Vote-To-Increase-Limit/Article/201105315992488?lpos=World_News_Carousel_Region_1&lid=ARTICLE_15992488_Video%2C_America_To_Reach_Debt_Ceiling_%2414.3_Trillion%3A_Congress_To_Vote_To_Increase_Limit
by Greg Milam, US correspondent(Skynews)
America is set to reach its $14.3 trillion 'debt ceiling' - the amount it is legally allowed to borrow.America's deficit for 2011 is expected to be a record-breaking $1.5 trillion.
If the US Congress fails to vote to increase the debt limit, the White House has warned that the country would default on its debt and spark a new financial crisis.
The US Treasury says it will implement "extraordinary measures" so the country can keep paying its bills until August.But Federal Reserve Chairman Ben Bernanke told Congress last week that any delay in increasing the debt limit would result in higher interest rates and could have "extremely dire consequences for the US economy".President Barack Obama has been leading financial negotiations
And, while it is expected the debt ceiling will be increased, the debate has become wrapped up in the political row about how to cut the country's crippling debt.
And here ends the as quoted epistle.
So,is it frightening?Is this a ridiculous item or not?Is it likely that Congress won't allow an increase in the debt ceiling?So very...........not going to happen.But does it really all matter?Is the article in the first place ridiculous in another place, never mind the first place?Yes.Utterly!There is a system,but the ridiculous debt figure, just keeps increasing. So what of other nations? Can they do as America does? Seemingly not,but they do you see,all of them do you see,for that is how the system of economics works you see,they're even yet worse off you see, when all figures are taken in to account and calculated against their individual GDP's. So it's wonderful to run a country which prints up currency whilly nilly as it requires when and where and whenever and whatever,isn't it? They all actually do you know,or they couldn't run,it's part and parcel part of and is, the system.why just look at Japan, which has the world's highest debt figure, calculated as percentile of the GPD, and going to get far far worse what with the recent tsunami and nuclear disaster the Japanese are presently suffering from.It's stated figure of debt versus the GDP percentile is presently 225%,whilst America's is a meaghre 60%.
So for America it's debt is said to be 60% of the GDP(the figure of debt being stated as being 4.3trillion).Is America suffering very much?It seems so, but then the figures for Europe are much higher,for each member nation of Euro,Europe,EEC or whatever they are calling themselves as a nation state confederacy of whatever.The UK is at 76%,middle of the road for Europe(let's call it that),Greece is the highest at 144%,Roumania seems to be the lowest at 35%.Outside of things, looking in,and not
liking what they're seeing,Canada lists 34%,Australia a humble 23%.Interestingly China is at 18%,and Russia is at about 10%,only.
Hhmmmmmmmmmm,what have we here?Is there a trend?How did it all start?Well,let's go back in time, to better economic times.What was it like.Well,indeed things weren't
as they are now, in America,or in Europe. No indeed.The economies were solid, we were capitalist,we were consumer oriented, we had jobs building things.But then, we
started importing, buying cheaper from many other lands,increasing imports, we declined in internal jobs,and our debts started to build an climb.What is it like
now?Curious it is, isn't it?Does it seem that the less you know about capitalism the better off you are, and the least developed you are,and the least consumer goods
you have,as a nation, the better things are for you,in terms of economy and national debt!
So, where are we going here? Well, to level things out,what could be done,
is allow nations such as Russia and China to buy whatever, as they completely and utterly wished. This would improve them in making them more capitalist,more consumer oriented, and more developed.Our debt versus GDP would improve in figures, declining in the percentile,as we increasingly supply those lower GDP debt ridden nations, and theirs would thence increase towards ours in the percentile...........and so then our economies would improve and we would have employment etc, and they would have goods and services etc and their economy would there for drop to finally achieve at one point a balance with everyone else.At least that is as far as I have gotten,in figuring out how to bring things to a balance. Once level we could all safely thence again start building a debt and so recommence the entire process.
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