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Politics : Ask Michael Burke
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To: Skeeter Bug who wrote (117094)11/26/2008 11:21:11 PM
From: GuinnessGuy  Read Replies (1) of 132070
 
Skeets,

I could be wrong, but it seems common sense to me that looking at the raw debt numbers isn't the important thing. What is important(and even this could be too simplistic) is looking at the ratio of the outstanding debt to the GDP(let's call it the debt manageability ratio, or DMR). If you could plot that, I'd bet you'd find that the DMR got lower every year during Clinton's time in office. Has it done the same with Bush? What about Reagan. <g>

Better yet, try plotting interest payments divided by GDP(or tax receipts) and see where that ratio is with various administrations from year to year.

IMO, just looking at absolute debt figures year over year is not necessarily indicative of healthy or unhealthy spending by the fed.

craig
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