Total G7 consolidated debt was $80 trillion in 2003. In the next decade it has risen by $62.3 trillion to $142 trillion at the end of 2012. This is a stunning 80% increase in the total stock of world debt in just one decade.Something that can't go on forever : will not.
Total G7 consolidated GDP was $22 trillion in 2003. Over the past ten years, GDP has risen by $9.4 trillion, or by 42%, even as total debt increased at double that rate.
Until 2003, every $3.6 dollars in debt generated $1 dollar in GDP growth.
In the past ten years, it took $6.7 dollars of debt to create $1 dollar of economic "growth."
Friday, September 13, 2013
Posted by Steve Bartin at 1:08 PM