U.S. debt 5th largest among major economies (Only Japan, Greece, Thailand and India had higher debt as a percentage of their GDP)

[웃 910]

Of the top 30 economies Australia is the best with debt only 14% of GDP compared to 244% in Japan, 161% in Greece, 113% Italy, 111% Thailand, and 95% USA.

Study: U.S. debt 5th largest in class

By: Jennifer Epstein

July 27, 2011 07:51 AM EDT

The United States isn't quite cash-strapped Greece, but it ranks fifth highest in debt among the world's largest economies, according to a new analysis on Wednesday.

The Associated Press Global Economy Tracker, which is based on data from 30 of the biggest economies around the world, found that U.S. debt was equivalent to 95 percent of the Gross Domestic Product in the first three months of the year.

Only Japan, Greece, Thailand and India had higher debt as a percentage of their GDP.

Every year that the U.S. government spends more than it collects in taxes, it records an annual budget deficit. The current $14.3 trillion debt is the sum of all annual deficits and surpluses.

U.S. taxes are lower than they have been in more than half a century and are lower than those collected by other countries around the world. At the same time, government spending is rapidly growing as health care costs continue to grow, the AP said.

"We as a society will either have to pay more for our government, accept less in government services and benefits, or both," Douglas Elmendorf, director of the nonpartisan Congressional Budget Office told the AP. "For many people, none of those choices is appealing — but they cannot be avoided for very long."

In Japan, where health care costs are high and the economy has struggled for more than a decade, the government's debt totals 244 percent of the GDP. In Greece it's 161 percent, in Italy it's 113 percent, while in Thailand it's 111 percent. The United States is next on the list.

A ratio above 90 percent starts to inhibit economic growth, in part by forcing interest rates up, according to economists Kenneth Rogoff of Harvard University and Carmen Reinhart of the Peterson Institute for International Economics, the AP reported.

Australia is at the bottom of the AP's list, with its debts totaling 14 percent of its first quarter GDP.

http://dyn.politico....85-C998479326A1

Edited July 27, 2011 by Lord Infamous

[mawilson 2,133]

244 percent... fuckin hell.

Now there's a country that's going to default before we do.

[dalegg 143]

244 percent... fuckin hell.

Now there's a country that's going to default before we do.

But--they can still go to Sushi, so that's a reassuring sign!

[Mr. Big Dog 10,747]

When did Greece ascend into the top 30 world economies? As of 2010, they ranked 32 in the world behind Thailand at #30. Greece's economy (GDP $304BN) is just a tiny bit bigger than Maryland's (GDP $300BN). There are 14 US states that have a larger economy than Greece. The top 30.

[BishopM 114]

Dangggggg...I was hoping to avoid all this mess by retiring over in Thailand...but looks like I'd be jumping out of the frying pan and into the fire

[Mr. Big Dog 10,747]

Dangggggg...I was hoping to avoid all this mess by retiring over in Thailand...but looks like I'd be jumping out of the frying pan and into the fire

Yeah, Thailand has financial issues. Just ran across this article yesterday: Thai Prince's Private Jet to Remain Impounded in Munich. It's hillarious. The Thai government fails to pay some €30 million and the Thai Prince gets his plane impounded because of it.