• BullionStar
    05/30/2016 - 21:24
    The US Gold Market is best known as the home of gold futures trading on the COMEX in New York. The COMEX has a literal monopoly on gold futures trading volumes worldwide, but very little physical...

Today's Exponential Chart Of The Day: IMF Edition

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Wed, 07/13/2011 - 16:05 | 1453324 Mongo
Mongo's picture

Infinity and beyond!

Wed, 07/13/2011 - 16:21 | 1453402 spiral_eyes
spiral_eyes's picture

in reality, there is no infinity. in reality, the u.s. will die long before we get any further up the curve.

Wed, 07/13/2011 - 16:27 | 1453433 max2205
max2205's picture

be dead anyway

Wed, 07/13/2011 - 16:56 | 1453557 nope-1004
nope-1004's picture

I have a simple solution:

Redefine Public Debt.  There - done.  FASB did it to the banks.  Biden wants to do it to the CPI.

Why not here?  Just call public debt something like off balance-sheet previously instigated monetary obligations.

Carry on - nothing to see here.


Wed, 07/13/2011 - 17:03 | 1453592 Quantum Nucleonics
Quantum Nucleonics's picture

Already done.  Fannie & Freddie debt held off balance sheet, $5 trillion worth, much of it crappy subprime mortgages marked at par.

Wed, 07/13/2011 - 18:28 | 1453926 masterinchancery
masterinchancery's picture

This chart doesn't include agency debt, 6-7 trillion already, so it is a Goldilocks scenario.

Wed, 07/13/2011 - 22:21 | 1454746 Vampyroteuthis ...
Vampyroteuthis infernalis's picture

Dude, you stole my avatar!!!

Wed, 07/13/2011 - 17:59 | 1453839 Chappaquiddick
Chappaquiddick's picture

Nationalise all US gold mines. Revalue gold to $10M / toz and settle all debt obligations in gold.  Further metal production should meet future spending needs.  Problem solved....oh yeah abolish the Fed and incarcerate those fucking bankers - all of 'em.

Wed, 07/13/2011 - 23:17 | 1454891 Anonymouse
Anonymouse's picture

Nationalize private property! Brilliant idea Hugo. How are those cancer treatments coming along?

Thu, 07/14/2011 - 10:05 | 1455800 GoinFawr
GoinFawr's picture

Definitely, sell it to MEEEEEEEEEEEEEE! I'll give you pennies on the 'strong dollah', honest! Hahahhahahahaha!

Wed, 07/13/2011 - 16:32 | 1453447 sbenard
sbenard's picture

LOL! and don't forget the corrollary:


"Parabolic up..., parabolic____________"

I think we can all fill in the blank!

Wed, 07/13/2011 - 16:35 | 1453460 What does it al...
What does it all mean's picture

There is no such thing as a parabolic down for debt.  The deficit is the difference between revenue/taxes and cost/spending.


The debt is a perpetually increasing function.  So we need to increase revenue at the same rate or decrease spending.  The welfare and quality of life for Americans can go parabolic down, but no such luck with debt.

Wed, 07/13/2011 - 16:58 | 1453566 malikai
malikai's picture

Have you ever heard of 'default'?

Wed, 07/13/2011 - 17:25 | 1453692 Zap Brannigan
Zap Brannigan's picture

Well... is a slope of negative infinity technically "parabolic," or is it something closer to "there is no spoon," "Leeloo Dallas multipass," etc?

Wed, 07/13/2011 - 17:41 | 1453740 What does it al...
What does it all mean's picture

Honestly, all political theater aside... What is the difference between 14 Trillion, 24 Trillion or 34 Trillion in debt?  Can anybody really understand Billions, much less Trillions.  American debt was near this level for a LONG LONG time, not just the last 3 years.

The train left the station back around 1970s when Nixon had to pay for Vietnam... if we survived from 5 Trillion to 14 Trillion. (roughtly from 2000-2011), what is another 10-20 trillion?  Does it truly matter?  Unless the market price in default.  (And it certainly  hasn't, S&P from 1350 to 1300 doesn't count, S&P at 750, maybe.)  It is an binary step function.  Now, debt at 24 Trillion is irrelevant to Americans.  Interest rate at 15% is material and it is deadly....

So, all this, will go away...  by Aug 2nd, and technically, America has had government shutdowns before, but never default.  And we will nuke something before we default.  Not to say that we won't default, but we will definitely nuke somebody first.

I don't think anybody here, in government or alive can truly understand the scale of a 14 Trillion debt.  My point is that it is already bad, and all this is for show.


Wed, 07/13/2011 - 17:48 | 1453765 LeBalance
LeBalance's picture

pardon, felt my input was needed.

/misinterpretation of need corrected/

Wed, 07/13/2011 - 18:51 | 1453998 Manthong
Manthong's picture

This is a good attempt at some perspective.

And the pallets would be stacked 28 high to equal the $14T dollar debt number.


Wed, 07/13/2011 - 18:58 | 1454023 masterinchancery
masterinchancery's picture

Wrong. US debt was less than 1 trillion only 20 years ago.

Wed, 07/13/2011 - 20:54 | 1454436 RockyRacoon
RockyRacoon's picture

...we will definitely nuke somebody first.

We'll nuke ourselves and then start pointing bony fingers at others.

False-flag, bitchezzzzz!

Wed, 07/13/2011 - 20:54 | 1454437 RockyRacoon
RockyRacoon's picture

...we will definitely nuke somebody first.

We'll nuke ourselves and then start pointing bony fingers at others.

False-flag, bitchezzzzz!

Wed, 07/13/2011 - 16:37 | 1453471 spiral_eyes
spiral_eyes's picture

the correct answer is aggregate demand, because bernanke says aggregate demand is the name of the game, and parabolic aggregate demand is the superior economic condition. i think we should let our genius central bankers (bernanke must have an iq of at least 250, how else would he be given the job?) take care of monetary policy, and we should get back to shopping at wal mart, eating corn syrup and drinking delicious fluoride water.



Wed, 07/13/2011 - 16:58 | 1453560 rsnoble
rsnoble's picture

No, nukes will be dropping and skynet will be destroyed before the 2nd half outcome can be charted.  So even when we're dead the chart will only read parabolic up.  It never ends.

Wed, 07/13/2011 - 17:00 | 1453573 malikai
malikai's picture

The radiation will kill the computers, too.

Wed, 07/13/2011 - 18:18 | 1453887 Hard1
Hard1's picture

Kind of agree, the only thing that backs the USD is a nuclear arsenal (or nucular as Bush used to say)

Thu, 07/14/2011 - 07:23 | 1455357 Bob Paulson
Bob Paulson's picture


I'm expecting a 61.8% fibonacci retracement at some point when governments start to collapse :)

Wed, 07/13/2011 - 16:07 | 1453326 baby_BLYTHE
baby_BLYTHE's picture

the laws of exponents are a bitch

Wed, 07/13/2011 - 18:05 | 1453853 hedgeless_horseman
hedgeless_horseman's picture

+ Xn

Wed, 07/13/2011 - 16:06 | 1453329 Nolsgrad
Nolsgrad's picture

I like pretty pictures :D

Wed, 07/13/2011 - 16:06 | 1453332 Stuart
Stuart's picture


Wed, 07/13/2011 - 16:07 | 1453334 Joe Davola
Joe Davola's picture

When I was grading papers as a grad assistant if the students claimed a curve was exponential but they didn't plot it on a log scale, they lost points.  Didn't want to do it, but felt I owed it to them.

Wed, 07/13/2011 - 16:14 | 1453373 Joe Sixpack
Joe Sixpack's picture

Seems silly to me. An exponential function is what it is regardless of what scale you plot it on.

Exponential function on a linear scale increases rapidly and non-linearly. On a log scale it looks linear.


I think the linear scale gets the idea across to non-technical people much better.

Wed, 07/13/2011 - 16:37 | 1453475 What does it al...
What does it all mean's picture

I agree with the graduate assistant, see my previous post.  The graph is a natural result of math, and that is just another tool used by all sides to skew their argument.

Still, it is a pretty chart, though.

Wed, 07/13/2011 - 16:52 | 1453545 Cheesy Bastard
Cheesy Bastard's picture

We used to call this a "boner" chart.  If he's not careful, we will soon be calling it a "Boehner" chart.

Wed, 07/13/2011 - 16:35 | 1453466 WonderDawg
WonderDawg's picture

The most important decision you have to make is what do you stand for Danny- goodness, or badness.

Wed, 07/13/2011 - 17:25 | 1453687 Quackking
Quackking's picture


Wed, 07/13/2011 - 17:27 | 1453698 WonderDawg
WonderDawg's picture

Always love a good Caddyshack reference. How 'bout a Fresca?

Wed, 07/13/2011 - 17:30 | 1453709 sdmjake
sdmjake's picture

'You'll get nothing and like it!"

Wed, 07/13/2011 - 20:23 | 1454334 Manthong
Manthong's picture

It's easy to grin
When your ship comes in
And you've got the stock market beat,
But the man worthwhile
Is the man who can smile,
When his shorts are too tight in the seat.

-Judge Smails

Wed, 07/13/2011 - 22:11 | 1454712 SoNH80
SoNH80's picture

"Where'd you come from?  A Scotch ad?"

Wed, 07/13/2011 - 20:58 | 1454454 StychoKiller
StychoKiller's picture

Fresca™ is THE MOST God-awful swill I ever tasted!

Wed, 07/13/2011 - 16:08 | 1453336 drink or die
drink or die's picture

ship has been steered back onto course

Wed, 07/13/2011 - 16:38 | 1453479 A.W.E.S.O.M.-O 4000
A.W.E.S.O.M.-O 4000's picture

Said the Captain of the Titanic to the First Mate

Wed, 07/13/2011 - 21:04 | 1454476 baby_BLYTHE
baby_BLYTHE's picture

She's made of iron, sir. I assure you she can sink...and she will.

Wed, 07/13/2011 - 16:08 | 1453337 downrodeo
downrodeo's picture

lookin' good to me!

Wed, 07/13/2011 - 16:26 | 1453422 Fish Gone Bad
Fish Gone Bad's picture


Wed, 07/13/2011 - 16:08 | 1453344 Sudden Debt
Sudden Debt's picture

Why didn't they print it in black and white?

Don't they realize colour prints cost more money?

what a waste of money...

Wed, 07/13/2011 - 16:09 | 1453345 oogs66
oogs66's picture

let's just stick with the CBO baseline then everyone can be happy :)

Thu, 07/14/2011 - 06:47 | 1455314 Urban Redneck
Urban Redneck's picture

Let's look at the history of IMF cost projections to debtor nations instead - if the IMF says "it is going to cost x and your country only a little fucked" then that can be reasonably reliably interpreted as actually meaning "it is going to cost 5-10x and you should hedge by either going long lubricants or going long steel reinforced undergarments" 

Wed, 07/13/2011 - 16:11 | 1453352 plocequ1
plocequ1's picture

This chart needs no introduction... or explanation.

Yes it does.. Im color blind

Wed, 07/13/2011 - 16:38 | 1453478 Bay of Pigs
Bay of Pigs's picture

Make the colors GOLD and SILVER...

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