Ironic "Scariest Chart Ever" Redux - America Will Surpass 100% Debt To GDP On Hallowe

Discussion in 'Stock Market' started by hvactec, Oct 19, 2011.

  1. hvactec
    Offline

    hvactec VIP Member

    Joined:
    Jan 17, 2010
    Messages:
    1,315
    Thanks Received:
    106
    Trophy Points:
    83
    Location:
    New Jersey
    Ratings:
    +132
    n

    Earlier today we presented Bloomberg's Chart of the Day which represented the GDP and Debt per capita on a historical and projected basis, and we hysterically, and tongue-in-cheekly, dubbed it "the scariest chart ever" because it confirmed that at some point, very soon, US Debt will surpass GDP and never look back. We decided to dig into the actual numbers (cancelling out the per capital denominator as it is the same on both sides of the equation) and came to a very disturbing revelation: as of today, total US Debt, is $14.942 trillion (source), obviously an all time high. Q2 GDP as was reported by the BEA three weeks ago, was $15.012 trillion in current dollars. In other words, the spread between total GDP and total debt has now collapsed to an all time low $70 billion. Incidentally, this number was $1.8 trillion at the beginning of 2010. Then we decided to take a quick look at the upcoming bond issuance and find that tomorrow the Treasury will announce approximately $99 billion in 2, 5 and 7 Year bonds to be auctioned off October 25 through 27... With a very appropriate settlement date: October 31, elsewhere known as Halloween

    read more chart Ironic "Scariest Chart Ever" Redux - America Will Surpass 100% Debt To GDP On Halloween | ZeroHedge

    Why get an underwater mortgage for your house if your whole life is an underwater mortgage?
     
    Last edited: Oct 19, 2011
  2. editec
    Offline

    editec Mr. Forgot-it-All

    Joined:
    Jun 5, 2008
    Messages:
    41,427
    Thanks Received:
    5,598
    Trophy Points:
    48
    Location:
    Maine
    Ratings:
    +5,617
    The national debt is a symptom of the REAL problems.

    The REAL problems stem from the last 40 years of SUPPLY SIDER policies that advance ever advantage to the wealthy at the expense of the working classes.
     

Share This Page