Thursday, December 13, 2007
Forget about the sub-prime mess.
Kevin Leto suggests that the national debt is an explosion waiting to happen. It's expanding by about $1.4 Billion a day — or nearly $1 Million a minute.
The government is fast straining resources needed to meet interest payments on the national debt, which stands at a mind-numbing $9.13 Trillion.
In 6 years the Bush administration has taken our debt from $5 Trillion to approaching $10 Billion by the time they leave office.
The national debt as a percentage of the U.S. Gross Domestic Product has grown from about 35 percent in 1975 to around 65 percent today. By historical standards, it's not proportionately as high as during World War II — when it briefly rose to 120 percent of GDP.
The national debt will hit 350 percent of the GDP by 2050 under unchanged policy.
Who is loaning Washington all this money?
Ordinary investors who buy Treasury bills, notes and U.S. savings bonds, for one. Also it is banks, pension funds, mutual fund companies and state, local and increasingly foreign governments. This accounts for about $5.1 trillion of the total and is called the "publicly held" debt. The remaining $4 trillion is owed to Social Security and other government accounts,
Foreign governments and investors now hold some $2.23 trillion — or about 44 percent — of all publicly held U.S. debt. That's up 9.5 percent from a year earlier.
Japan owns $586 billion of our debt.
China owns $400 billion.
Britain owns $244 billion.
Saudi Arabia and other oil-exporting countries account for $123 billion.
Don't know what the plan is to fix this BS spending, but they damn well better get one together soon or the economic well being and American lifestyle of our children and grandchildren and this country are going to go down the tubes.
If anyone else operated their finances like the government does, they'd be in prison.