NetNews Usenet Archive 1992 #19/NN_1992_19.iso/spool/sci/econ/7114

Text File | 1992-08-25 | 1.6 KB | 41 lines

Newsgroups: sci.econ
Path: sparky!uunet!utcsri!torn!watserv2.uwaterloo.ca!watserv1!hertz.uwaterloo.ca!idfriedm
From: [e-mail] (id friedman)
Subject: Re: How Long it will Take to Pay back the Debt (Life in the 24th century)
Message-ID: <[e-mail]>
Sender: [e-mail]
Organization: University of Waterloo
References: <[e-mail]>
Date: Tue, 25 Aug 1992 17:05:10 GMT
Lines: 29

In article <[e-mail]> [e-mail] (Hunk) writes:
>   Consider that our largest surplus since WWII was 12 billion dollars.  That
 What was debt as a percent of GNP or GDP?

 In fact, I rememer seeing stats which indicated that the sum of public and
 private debt as a percent of GNP and GDP is lower in the U.S than in Japan.



>was when the debt was only about 250 billion, so there were just these real
>tiny interest payments (10-20 billion or so).  So we'll probably never even
>be able to get anywhere near back up all that way to 12 billion with our
>current interest load (400 billion or so), since 12 billion even with the
>smaller interest was likely considered intolerable.  And remember, Americans
>simply won't stand for more tax increases (unless the increases exempt the

 Then how do intend to pay for a neglect of infrastructure and education?

 California can't even pay its civil servents now.


>vast majority of them).
>
>   So the current debt is 4000 billion.  Payback time >= 4000/12 = 333 years.
>
>   Therefore, it is unlikely we will pay back the debt any time before the
>year 2325.

Ishay