US debt breakdown

Discussion in 'Economics' started by richardyu301, Aug 10, 2008.


    Do you think the calculation is reliable?

    A few things come to my mind:
    i) Out of the ~$10T public debt, 50% are held by the US government itself (to fund Security accounts or other things), only ~25% are held by foreign government (the remaining 25% are held by the public).
    ii) The $50T Medicare/Medicaid is huge but actually all governements in the world need the money for theirs citizens. The true problem is what% of GDP is spent on health care. Just b'coz it is big it doesn't imply a big problem as other countries hv to spend the money anyway. The problem with US is that it spends a higher % of GDP on health care for mediocre result
    iii) Household Debt: I can understand it as this has been discussed so many times recently in the media
    iv) business debt: $10.1T: this seems a good thing as US is borrowing to get positive net return
    v) financial sector debt (domestic): $15.8T: what does this include??? It seems so vague. Any idea about the breakdown?

    Attached is a pdf showing US assets overseas and foreign-owned assets in US.

    BTW, US household net worth is $56T according to this article. Does anyone know US corporate net worth now??
  2. US liability is big but to me they are just borrowing from other countries to make even more money... this is a good thing to US.

    Here is a report showing net worth of different countries in the world. US is simply the most wealthy country in the world (~44T, around 1/3 of WW total wealth).