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That's not absolute debt, that is debt relative to GDP as a percentage. Its a measure of, effectively, how long it would take the US to pay off its debt if it f
by zanny 11y ago
That's not absolute debt, that is debt relative to GDP as a percentage. Its a measure of, effectively, how long it would take the US to pay off its debt if it forced itself to operate in the green, since there is a limit on how much you can tax out of an economy without causing it to contract, and GDP is a flawed but relative measure of what you can potentially tax.
- forgetsusername 11y agoSo where is the equivalent graph showing the rate of growth of assets as a percentage of GDP? It's one sided accounting that people love to trot out as a big scary thing. The net worth of the US is growing; what else matters?