3 ms·
How do you get 4:1? Wikipedia pegs the GDP to debt ratio at less than one.[1] So the US owes more than 100% of it’s income. Servicing the debt is approaching
by poof131 9y ago
How do you get 4:1? Wikipedia pegs the GDP to debt ratio at less than one.[1] So the US owes more than 100% of it’s income. Servicing the debt is approaching 7% of federal spending.[2] Are you using numbers other than GDP and National Debt for your ratio?
[1] https://en.wikipedia.org/wiki/National_debt_of_the_United_States https://en.wikipedia.org/wiki/National_debt_of_the_United_St...
[2] http://www.pewresearch.org/fact-tank/2017/08/17/5-facts-about-the-national-debt-what-you-should-know/ http://www.pewresearch.org/fact-tank/2017/08/17/5-facts-abou...
- deleted 9y ago[deleted]
- bryondowd 9y agoAt least for personal loans, debt to income doesn't use your total debt, it uses your monthly payments made on debts against your monthly income. So I assume you would have to compare the yearly payments on the national debt to total federal revenue.
- gok 9y agoThink OP is talking about public debt (~$15 trillion) not intergovernmental debt (~$20 trillion). GDP has little to do with federal revenue; the federal government doesn’t tax 100% of all exchanged money. Federal revenue is about $3.6 trillion.
- daveFNbuck 9y agoA 4:1 debt to income ratio means that you owe 400% of your income.
- rayiner 9y agoThe US government’s revenue is not 100% of GDP. It could never tax anywhere near that.