tag:blogger.com,1999:blog-4102429195693595750.post2196128693026453459..comments2024-03-22T05:15:17.042+02:00Comments on Sudden Debt: Crunch TimeHellasioushttp://www.blogger.com/profile/03564511281240682625noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-4102429195693595750.post-7498969786070630952013-10-18T20:29:09.609+03:002013-10-18T20:29:09.609+03:00“I cannot see how this global FUBAR situation will...“I cannot see how this global FUBAR situation will be resolved without wrenching upheaval..”. I can. At least as far as so called “national debt” is concerned, I see not problem at all, and for reasons I set out here:<br /><br />http://ralphanomics.blogspot.co.uk/2013/03/the-national-debt-and-deficit-are-total.html<br /><br />Moreover, it is far from clear that so called “natinal debts” really afre debts (as the word is normally understood). Isabella Kaminska said in a recent FT aritcle that the phrase “national debt” might as well be replaced with “national savings”. See end of her article here:<br /><br />http://ftalphaville.ft.com/2013/10/11/1664302/why-the-level-of-government-debt-may-not-matter/?Authorised=false<br /><br />Ralph Musgravehttps://www.blogger.com/profile/09443857766263185665noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-87629053963877733192013-10-17T21:13:21.636+03:002013-10-17T21:13:21.636+03:00Sustainability is not politically viable because i...Sustainability is not politically viable because it entails various aspects, from lower profits for the corporations who finance the political class to less flashy standards of living for the population. What they don't realize is that their standards of living will be much more stable and livable. Not to mention the benefit to the planet. camabronhttps://www.blogger.com/profile/10024146459457965038noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-19734053064938733222013-10-11T18:33:41.229+03:002013-10-11T18:33:41.229+03:00AFAIU the argument is: fiscal entries are 10 times...AFAIU the argument is: fiscal entries are 10 times bigger than interest payments on debt, so no problem to pay those interests, which means no default. The rest of the fiscal entries would be for government spending, whatever remains. What is wrong with this argumentation? <br /><br />Of course, I can see that this would create a depression. Would that depression be so huge that at the end fiscal entries would less than interest payments? Who did the calculation? Is this calculation impossible? If yes, then the so called economic "science" does not deserve that name.<br /><br />Arnould, FranceArnouldhttps://www.blogger.com/profile/15769994922395834036noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-41450553458478446222013-10-10T11:48:04.188+03:002013-10-10T11:48:04.188+03:00What you suggest would require:
a) A balanced prim...What you suggest would require:<br />a) A balanced primary budget PLUS<br />b) A surplus big enough to cover all interest payments on debt already outstanding.<br /><br />As things stand right now, this is impossible.Hellasioushttps://www.blogger.com/profile/03564511281240682625noreply@blogger.comtag:blogger.com,1999:blog-4102429195693595750.post-71633011232087863392013-10-09T15:56:45.698+03:002013-10-09T15:56:45.698+03:00What about the comments that argue that even if th...What about the comments that argue that even if the "shut down" should continue after octoter 17, there would be no default as the interests on the existing debt would be paid without problems? It would only force the american government to live with a balanced budget, and this would be an excellent thing.Arnouldhttps://www.blogger.com/profile/15769994922395834036noreply@blogger.com