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To: russet who wrote (1265)12/7/2010 7:45:10 PM
From: russet  Respond to of 8300
 
Investors are increasingly worried about government debt levels in Europe, but these International Monetary Fund (IMF) graphs show US debt is $13.8 trillion and is set to rise



Who does the US owe money to?Nearly as many non-Americans have loaned money to the US government as Americans.

That too makes the US more vulnerable than other countries if we accept that domestic investors are less likely to jeopardise their country's well-being.



US government spending is set to soar
An ageing population means the situation is only going to get worse as the US government spending levels are set to grow.

Credit ratings agency S&P has warned the US needs to look at the issue of rising pension costs but so far no plans have been drawn up to address either pension or health costs.



US debts fall due sooner than most
The IMF points out one thing that makes countries vulnerable is how soon their debts fall due.

Here we can see that the average length of US loans is shorter than in many European countries.