It's all relative Neo-boy.

You're right, it is all relative.
Relatively speaking our debt is lower now than it was throughout the 90's.

"Joe" wrote in message
news

It's all relative Neo-boy.

You're right, it is all relative.
Relatively speaking our debt is lower now than it was throughout the 90's.

Let's see what you're basing that on...

It's all relative Neo-boy.

You're right, it is all relative.
Relatively speaking our debt is lower now than it was throughout the
90's.

Let's see what you're basing that on...


Percentage of debt to GDP.

Percentage of debt to GDP.

Bow-gus!

In billions of dollars:
1997 GDP: 8,318.4
2002 GDP: 10446.2

Compare that to the national debt for the same years. It's close, so use a
calculator.

While the difference is slight, the current debt is *higher than*, not *less
than* the debt to GDP ratio in 1997.

GDP is a deceptive figure anyway, as it includes the appreciation of primary
residence real estate as some sort of actual wealth or economic production.
Planning to sell your house and live in a tent any time soon?
Subtract the appreciation of residential real estate, and watch the comparsion
skew right off the chart. We are way the hell out of whack from where we were
in the 90's.

When interest rates go back up to service the debt, those house prices will
take a mighty tumble. People will spend as much for a house as the monthly
payments allow. When a lot more of that payment is going for interest, guess
what has to give?

"Gould 0738" wrote in message
...

GDP is a deceptive figure anyway, as it includes the appreciation of
primary
residence real estate as some sort of actual wealth or economic
production.

Too abstract. You'd better use bigger crayons to explain this to the Homers.

"Gould 0738" wrote in message
...
Percentage of debt to GDP.

Bow-gus!

Check out the graph on GDP to debt ratio.
http://www.ustreas.gov/press/release...2003charts.pdf


In billions of dollars:
1997 GDP: 8,318.4
2002 GDP: 10446.2

That's a nice 26.28% increase isn't it?
The national debt rose by 14.29% in the same period.

That's a nice 26.28% increase isn't it?
The national debt rose by 14.29% in the same period.

Nice dodge. Got a Chrysler to go with it?
Do the math and get back to us.

Compare the national debt to the GDP in 1997.

Compare the national dept to the GDP in 2002.

Post your findings he____________

Nice dodge. Got a Chrysler to go with it?
Do the math and get back to us.

Compare the national debt to the GDP in 1997.

Compare the national dept to the GDP in 2002.

Post your findings he____________

Since your having such a problem figuring this out-

(In millions)
Source-US Federal Government

1997
GDP 8,185,200
Debt 5,369,694

Gross debt to GDP 65.6%

2002
GDP 10,336,600
Debt 6,137,074

Gross debt to GDP 59.3%

Class dismissed.

When interest rates go back up to service the debt,

Sorry but there is no correlation between the rise, or fall, of the national
debt and interest rates.

http://www.taxfoundation.org/images/graph2.jpg

You're right, it is all relative.
Relatively speaking our debt is lower now than it was throughout the 90's.

Relatively speaking?

Maybe if you're a relative of a right wing radio spin doctor.

Our current debt is about 1 1/2 times what it averaged in the 90's. Is somebody
trying to state that the size of our (recessed) economy is more than 150% of
what it was in the 90's and therefore the debt is
still in proportion? That's easy to say, but I think it would be impossible to
come up with any evidence to support such a s-t-r-e-t-c-h of logic.

You also have to examine the trend. The national debt increased more in single
fiscal year ended 9-30-2003 (about $500 billion) than it did in any single year
in the 90's, and indeed more than it did in almost any 2 year period you can
find during the 90's.


Prior Fiscal
Years

09/30/2003 $6,783,231,062,743.62
09/30/2002 $6,228,235,965,597.16
09/28/2001 $5,807,463,412,200.06
09/29/2000 $5,674,178,209,886.86
09/30/1999 $5,656,270,901,615.43
09/30/1998 $5,526,193,008,897.62
09/30/1997 $5,413,146,011,397.34
09/30/1996 $5,224,810,939,135.73
09/29/1995 $4,973,982,900,709.39
09/30/1994 $4,692,749,910,013.32
09/30/1993 $4,411,488,883,139.38
09/30/1992 $4,064,620,655,521.66
09/30/1991 $3,665,303,351,697.03
09/28/1990 $3,233,313,451,777.25
09/29/1989 $2,857,430,960,187.32
09/30/1988 $2,602,337,712,041.16
09/30/1987 $2,350,276,890,953.00

SOURCE: BUREAU OF THE PUBLIC DEBT