Financial Sense: Where Is The Next Sovereign Debt Crisis?

The USA had a public debt of just $75 Million in 1791 and for more than a century afterwards the total public debt averaged just 2.5% of U.S. economic production (GDP). Today’s Government Debt is estimated to be $22 Trillion at roughly 107% the size of our annual GDP.

Historically, during economic downturns, our political leaders have promoted above-trend deficit spending to get reelected and allegedly to boost the economy. After decades of profligate spending since abandoning the Gold-backed dollar, the fear of a debt crisis has grown with each recession.

us debthttps://static.financialsense.com/styles/bli_orig_custom_user_screen_lg_min_2x/public/images/2019-02/us-debt.png?itok=aLGrHNCJ

You can access the entire article from Financial Sense: … …  HERE

About Bob Weir 3002 Articles
Bob Weir has over 50 years of investment research and analytical experience in both the equity and fixed-income sectors, and in the commercial real estate industry. He joined eResearch in 2004 and was its President, CEO, and Managing Director, Research Services until December 2018. Prior to joining eResearch, Bob was at Dominion Bond Rating Service (DBRS).