| Main |

USA’s explosive debt contribution to world’s debt under Trump is concerning

Growth of debt chart in developed and emerging markets.
Photo credit: Institute of International Finance

– Editor’s Note:
Storm clouds are rising on the horizon for the pocket books of American citizens as prices rise for fuel, food, and transportation, augmented by interest rate rises that must follow to fund America’s borrowing to pay interest on the country’s debt.

– “USA debt has grown to more than 100% of GDP.”
“The amount of debt held in the world rose by the largest margin in two years during the first quarter of 2018, growing by $8 trillion during the first three months of the year, the Institute of International Finance reported Tuesday [July 10, 2018].

“Global debt has now risen to more than $247 trillion, which is 318% of the world’s gross domestic product. Additionally, IIF found that global debt has risen by $30 trillion since just the fourth quarter of 2016.”

“With the increases in spending from President Donald Trump and Congress (i.e. tax cut and war spending), the U.S. will now have funding needs of 25% of its GDP. WOW!

“Gibbs [Sonja Gibbs, Institute of International Finance’s senior director of the global capital markets department] added that the United States’ debt growth was particularly worrisome, given that it has now grown to more than 100% of GDP. With the increases in spending from President Donald Trump and Congress, the U.S. will now have funding needs of 25% of its GDP.

“‘The U.S. really stands out here because … a lot of that is the expanding budget deficit as well as maturing debt,’ Gibbs said. ‘That’s a lot of financing need affecting the market,'” by Dion Rabouin, Financial Markets Reporter, Yahoo Finance.
Read more

Posted by Steve on July 15, 2018 at 12:01 am | Permalink

Post a comment

No comments yet. You should be kind and add one!

By submitting a comment you grant Yelm Community Blog a perpetual license to reproduce your words and name/web site in attribution. Inappropriate and irrelevant comments will be removed at an admin’s discretion. Your email is used for verification purposes only, it will never be shared.

Subscribe to Blog via Email

Enter your email address to subscribe to this blog and receive notifications of new posts by email.



Social Media Auto Publish Powered By : XYZScripts.com