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Politics : Dutch Central Bank Sale Announcement Imminent? -- Ignore unavailable to you. Want to Upgrade?

To: Broken_Clock who wrote (4608)	3/19/1999 10:28:00 PM
From: Hawkmoon	Read Replies (1) \| Respond to of 81959

PK, Now I'm going to sit here and tell you that the budget and trade deficits are not too high or shouldn't be lower. But every gold oriented page seems to list the national debt as the source of a economic blow-up. But our GDP is currently over $7 1/2 trillion and our national debt is some $5 1/2 trillion. And $762 Billion of that is owed to ourselves through the Social Security Trust Fund. ssa.gov Here's an interesting take on the issue of debt: wavefront.com As you can see the private debt FAR outstrips the public debt. The loss of jobs in the US with the corresponding debt default and bankruptcy would have a far greater impact than maintaining the national debt to this extent. That's why the Fed lowers rates and attempts to maintain the liquidity of banks so they will continue to be willing to extend and roll-over credit. But there is no doubt that there is too much debt in this society. The problem is if you curtail consumption, you cost jobs. It you encourage consumption, you increase the private debt. Regards, Ron