* From: Jim Devine
I wrote:
... the graph has a new term for the so-called "national" or
"public"
debt. Now, it's the _American_ debt. But it is not the "American," or
"national," or "public sector" debt at all. Instead it is the
_government_ debt. (read the graph.) And to whom? to the public!
i.e., largely to America, to the nation. It should be called the
"national," "public," or "American" _asset_. If you don't think of it
this way, you think of treasury bills, bonds, and notes as burdens. So
you should give them to me. I'll take them off your hands.
If we in the US are to worry about debt, we should worry instead
about:
1. consumer debt compared to assets ...
2. corporate debt compared to assets ...
3. government debt to rich people ...
4. the national debt -- by the government, the private corporations,
and individuals -- to those outside the county. ...
Charles Brown writes:
Are what you discuss in your first paragraph and number 4 the same
thing?<
no, not all of consumer debt is to foreigners. And not all of US debt
to foreigners is consumer debt.
^^^^^
CB; Your first paragraph is not numbered "1" . It has no number. Its first
sentence says "the graph has a new term for the so-called "national" or
"public" " debt, i.e. it refers to a "national debt". Your number 4 also
refers to a "national debt".
^^^^
Is this the one that China and Japan hold so much of, but can't hope
to get paid ? <
the US is still pretty powerful in the world; it's no Argentina. China
& Japan may have to worry about getting paid at lower rates (after
adjusting for exchange-rate changes) but they don't have to worry
about not getting paid.
^^^^
CB: So they have to worry about getting cheated ? Are they being paid right
now ?
^^^
Does it include the accumalated trade deficits ?<
deficits _cause_ debts: if I spend more than I earn (running a
deficit), I end up owing more (having more debt) or selling more
assets.
^^^^^
CB; Are the trade deficits a cause of the "national debt" ?
