My mistake, I was counting from a Fed Reserve model,and ADDING the 4(What I thought were)quarters, and they were actually quarterly estimates of annual GDP, at about 9Trillion each(GDP minus interest paid to offshore US debt holders).
And the trillion comes from this years estimates, which started at about 200B, then moved up to 300+B and with the War costs, up to 500B, just for this first half of the year. I suppose we will have to wait and see what the actual deficit is till the end of this year. But I see the tax receipts category was grossly overestimated this year, and is now being downsized in ongoing estimates.
Anyway, somehow the ratio of deficit to GDP was close, even with the mistaken numbers,gggg
I would not like to see a downgrade of US government debt, but my point was that US rating agencies are considering downgrade of Germany sovereign debt on the basis of problems that look a lot like our own.
I read Martin Weiss' book about how Moody's and S+P and other rating agencies look at muni debt and mortgage backed debt. Scary how compromised these 'independent' rating agencies are.
I would not give a nickle for the value of Moody's, et al., ratings on these bonds/debt, and their evaluations of foreign debt are also subject to considerable question, IMHO.
Of course, these are US based debt rating agencies, so scrutiny of our government debt quality would be dangerous for their business, I presume.
James |
