Global Debt

There have been one or two threads about the global financial problems. Many people consider the problem to be the Euro area. But I believe that the Euro crisis is only part of a much bigger problem - that of global debt.​

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I found the above chart on the internet, which shows that the total (government, corporate, and personal) debt in the USA is now way more than it was in 1929, when it triggered the great depression. By measuring debt against GDP (total national output) the effect of inflation has been removed. The solution so far, of governments bailing out banks, has not altered the size of the total debt. It has merely moved it from the banking sector to the government. As the government represents the people it is now our own personal debt that has to be paid off by higher taxes, lower pay and pensions and reduced government spending. Its the total debt that matters - not just government debt.

However the USA is not alone. This site Total Debt to GDP (%) | Global Finance shows that compared to the USA debt of 370%,
Japan has 471%
UK 466%
Spain 366%
France 323%
Italy 315%
and Germany 285%

 

Thats a sobering fact Peter.

I've sent the Prime Minister an e mail, suggesting he transfers the UK debt onto a Tesco Credit Card, so we don't have to pay interest for a year.

 

I had to laugh :D

 

Bearing this in mind should I be stuffing more money under the matress?

 

I reckon so pete :D Mind you, will money actually be worth anything when the time comes?

 

Must be sleeping near the ceiling by now Pete

 

I like the idea of the credit card Ziggy - but use one that gives us bonus points. After a year or so we could probably cash them in and get a free country - Greece or Portugal or Spain. :D

 

Good point, fill up the Armed forces & get clubcard points. Wonder how many points you'd get for an aircraft carrier

 

Drat why can the UK never be first at anything ! Japan beats us by 5 points !
But we have absolutely thrashed Germany

 

:yess: Debt Bling:D:D:D

 

All this proves to me is that the so called debt is acually "pie in the sky".

Its never going to be paid back, so why sould Joe public be bothered.

I'm begining to think that now global warming/climate change has run out of steam and most people dont give a hoot, the next best way of screwing money out of us, the tax payer, is to keep telling us we owe money.

If they tell me the name and adress of the bloke I owe I'll send him a cheque.
Doing it via the government dont seem to work, it gets lost somewhere in the system.