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Graphing The Evolution Of The World's Debt Addiction
It's no secret that the world is addicted to debt.
China for instance, has an astounding $28 trillion debt load that amounts to 282% of GDP, while the country's local governments are now undertaking a multi-trillion yuan refi initiative in order to cut the debt servicing costs on a mountain on high interest loans they acquired off balance sheet in an effort to skirt official borrowing limits.
In Europe, a series of fiscal crises nearly brought the currency bloc to its knees in 2012 and indeed, the drama continues today with Greece sliding ever closer to insolvency as government revenues are woefully inadequate to cover the country's obligations.
Japan had its credit rating cut by Fitch late last month with the agency citing the "high and rising level of government debt" which Fitch projects will rise to 244% of GDP by the end of the year, "by far the highest ratio of any rated sovereign.”
Of course the US has its own debt woes, not the least of which is the well-documented $1.3 trillion student loan bubble which is, for the most part, underwritten by the American taxpayer.
The following graphic shows the evolution of the world's debt addiction from 2000 to 2014. Note that the y-axis is debt-to-GDP while the x-axis is GDP-per-person, meaning that a line which slopes up and backwards is the worst case scenario as it generally indicates a contraction in GDP and an increase in debt burden. Each line is a country and you can find the full interactive graphic from The Economist here.
Here are some country-by-country highlights:
More color from The Economist:
The borrowings of governments, households, companies and financial firms have risen in almost every big country around the world since the year 2000, relative to their GDP. As economies develop they naturally build a bigger stock of financial assets, including debt. But plenty of countries have gone out on a limb. Some are financial centres, such as Singapore and Ireland. Their debts are inflated because they host the subsidiaries of many global banks and companies. Others have economies that are driven by debt-fueled investment, or which are stagnant. China has similar debt levels to America, despite being only 20% as rich as it per person. Portugal has similar leverage to Sweden, which is almost twice as wealthy as it. Troubled Greece’s debt-to-GDP is on a par with that of prosperous Norway’s. Countries with disproportionately high debts are more prone to crises. But working out how to shrink-debt to GDP without causing a slump is tough—as China is discovering.
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Uhh...oops?
*Scratches head* ~ Money, is it even real?
Keep calm & charge on!
And why would an article about debt mention that all money is created by banks as debt with interest? Must have nothing to do with the matter at hand.
https://youtu.be/llbzUyv1CLU
Looks like bunch of semen that realized they're in the wrong hole.
All debts to banks are null and void do to " impossibility to perform "
The money to pay the interest is never created when the money comes into existence as a new loan.
https://youtu.be/qz8K0WvkzRI
My last pay check was $9500 working 12 hours a week online. My sisters friend has been averaging 15k for months now and she works about 20 hours a week. I can't believe how easy it was once I tried it out. This is what I do... www.jobs-review.com
Which line is Dalio's "Beautiful Deleveraging"??
http://i3.kym-cdn.com/photos/images/original/000/249/972/802.jpg
And then decided "Oh, what the hell, as long as I'm here, might as well see what's happening in the lower intestine."
Liana, that "video," Fight Club, Zero Hedge, and The Dollar, was simultaneously superficially correct, and yet profoundly stupid. I have heard things stated in that video you linked dozens of times before, by watching these: Excellent Videos on Money Systems. I skipped through the video that you linked, finding that each time I stopped the same sorts of old-fashioned bullshit was being spouted.
Money is measurement backed by murder. The vast majority of people have been successfully brainwashed to become Zombie Sheeple, who have been almost totally alienated from their inner Wolf. The evolution of the world's "debt addictions" has much more profound aspects that a deeper analysis reveals. After one does that, it becomes clearer that most of the superficial "solutions" promoted by the various Black Sheeple controlled opposition groups have no merit, because they generally refuse to have sympathy for the devil, regarding how and why civilization ended up becoming controlled by the best organized gangs of criminals, dominating the biggest organized gangs of criminals, namely governments dominated by banksters. IF one gets more serious about the issues that the debt controls are backed by the death controls, then any genuinely realistic solutions to the world's "debt addiction" problems requires changing the death control systems. Of course, that is precisely why actually doing anything about those problems is so damn difficult as to be politically impossible.
I did not like the ways that that video you linked started with gratuitous insults of the Zero Hedge Web site. OF COURSE, I agree with the view that articles republished here tend to grossly underestimate the problems, and therefore, then grossly overstate what the possible "solutions" to those problems could be. However, in my view, the video you linked did similar things.
The world's "debt addiction" problem is basically due to the ways that it has been socially successful for thousands of years to back up deceits with destruction, which more recently morphed into enforcing frauds. However, those problems are due to deeper causes, which relate to the ways that the chronic political problems inherent in the nature of life have driven the development of artificial selection systems, which were based on the biggest bullies' bullshit world views.
Tragically, videos like the one you linked are merely another version of the Black Sheeple, promoting false fundamental dichotomies, and the related impossible ideals, as the basis for the bogus "solutions" to the problems. However, since money is necessarily measurement backed by murder, there are no other ways to change the debt controls than to change the death controls. Those problems are way more profound than most of the Black Sheeple are able to entertain, when they exhort the Zombie Sheeple to "wake up."
For the last couple of years on Zero Hedge I have been amusing myself by REPEATING THOSE POINTS, and the most recent discussion that I had with a classic example of one of the Black Sheeple was with honestann in this thread: Caught In The Act: Government Hackers
Metaphorically speaking, ALL human beings are Wolves. Our culture has selected for some human beings to act like Sheeple, indeed the vast majority, but they are thereby being deluded. More basically speaking, human animals are NOT productive. Human beings NEVER "produce" anything! They only transform energy from their environment, in ways which increase the overall entropy. All human beings are FUNDAMENTALLY PREDATORY. As soon as one perceives human beings as separated from their environment, then across the boundaries defined by that SUBTRACTION, they necessarily live as ROBBERS.
What EXISTS are human beings acting as predators, or living as entropic pumps of energy flow, which drives there to evolve ecologies. The only things that EXIST are the dynamic equilibria between different systems of organized lies operating robberies. The human culture systems have recreated, through specialized human roles, the ways that many, many other biological systems developed. Apparent harmony and beauty are due to the dynamic equilibria becoming so delicately balanced that they do not appear to be there. However, the actual mechanisms of how things really work are the opposite to that, and the only ways to approach realizing ideals are through mechanisms which face those facts. Governments are necessarily based on organized crime. The only better government is better organized crime. The ONLY realistic way to achieve that is for enough people to rediscover their own inner Wolves, NOT for the Black Sheeple to exhort the Zombie Sheeple to become better Sheeple.
The systems of a democratic republic operating through the rule of law are already good enough theoretical systems in order to do that, IF only enough of the Zombie Sheeple who have been brainwashed to believe in the biggest bullies' bullshit social stories would go through a sufficient series of psychological and political miracles to be able overcome their conditioning, by going through suffering enough cognitive dissonance to comprehend the degree to which they have been brainwashing to believe in bullshit, which was promoted by the bullies, for thousands of years, as the history of the totalitarian agriculture of Neolithic Civilizations gradually morphed into the kinds of totalitarian economics that dominates civilization today.
However, some of the basic problems we face are the ways that the best organized gangs of criminals have also been able to control their "opposition," so that most of the so-called "opposition" are merely Black Sheeple, attempting to "lead" the masses of Zombie Sheeple backwards, such as what the video that you linked was doing. Metaphorically speaking, the solutions are NOT for everyone to become better Sheeple, but for everyone to become better Wolves. A democracy operating through the rule of law could do that, but if and only if enough of the "citizens" stopped being incompetent political idiots, that continued to believe in the bullshit promoted by the biggest bullies, which is actually the same bullshit which is also promoted by the controlled opposition groups!
Anyway, Liana, the video you linked, or at least the parts that I had the patience to listen to, was typical in being superficially correct regarding the analysis of the problems, but then switched gears to promote the same old-fashioned bullshit "solutions" without recognizing the degree to which that presentation was still STUCK INSIDE THE BIGGEST BULLIES' BULLSHIT WORLD VIEW. Of course, that is quite commonly observed on Zero Hedge too, but was also present just as much in the video you linked, as yet another example of "the pot calling the kettle black."
M
The Debt To GDP Ratio For The captives of the global Rothschild fiat empire is 286 Percent.
Since GDP is a BS number the whole exercise is a point of futility. The same futility you feel when markets don't find proper values, and politicos are keep in office for 20 years as the world around them decays.
Wouldn't want to be Ireland or Singapore.
Whatever happened to Simon's bastion of effective capitalism - Singapore?
Fuck Debt. Don't pay !!!
When 1% pay 30%, and the top 10% pay 70% of federal income taxes and the bottom 50% of income earners pay 2% of federal income taxes, coupled with 100 million plus receiving transfer payments, trillions in grants and tax free non tax status entities, I'd say that the 'system' has wide and quite deep support. Fascism Amerikan style, has worked pretty well according to many if not an overwhelming majority. Just my observation.
Precisely why Rothschilds wish it to continue. The most vicious of cycles. See once the rich become rich they can influence the system to continue to expand their pockets. More elegantly observed by Plato in The Republic. Most interesting is Plato's observation that oligarchs never fight wars to win, rather to support wars that just never end. From the renaissance to today we have passed 6.5 phases of the 7 that Plato defines.
Another way to put it...
Close your eyes pretend you are a Rothschild...
Primitive country rich in labor and minerals pay them in beads, tip the generals, once the labor starts to spend, you SUCK them into the system, keep grip on the wallet and soul. It's easy as 1,2,3.
Wash, rinse and repeat. Like taking candy from a baby.
Even old man Morgan only owned 17% of JPM when life cashed him out, Rothschilds had > 75%.
I just popped open another Budweiser and burped.
Them goin down?
I got some news for you skippy. You goin' down with'em.
Interest, bitchez!
Looks like a neural scan of a retard.
This global debt analysis does not factor in the potential impact of Olive Garden's new bread stick policy?
Debt is Nocturnal Emissions by central banks. Then they wake up with morning wood (insert full GWAR concert here).
They are pissing in their own oatmeal. Ask Yanis & Alex so smart, they are steering the shopping cart from the rear...
Think of debt and fiat money as a ledger detailing misery, wage slavery, and the subjugation of the human race.
Debt as a % of GDP is another very government friendly metric.
Since government spending is a component of GDP, but additional debt does not negatively impact GDP, the incentive (like everything) is to acquire more debt.
A $10T economy with $10T of debt is at 100% debt as a % of GDP.
If that economy has a government that acquires $1T of debt for the year and spends it, what happens?
An $11T economy with $11T of debt. 100% debt as a % of GDP (assuming stagnant growth in everything else of the economy).
Plus, the gov't economists and media can talk about a 10% rise in the economy for the year!
This, in essence, is what has been happening for the past 9 years (and actually much longer)...
kicking the can (rescheduling payments, issuing more unsecured debt) buys time. Who cares if its 30 or 100 trillion of debt, its can never be repaid. All I care about is enjoying life, don't stop issuing debt if it makes my life easier.
1. Singapore Illuminate confirmed
2. 14 years isn't particularly helpful, indebtedness has been trending up for like 700 years in Europe, or since initial contact with Europeans for everywhere else.
credit is debt that has to be payed back or default on it.
The biggest form of slavery is just that debt slavery through credit.
Most Americans are slaves!
Anyone have a coherent (???)
explanation WTF Singapore!
I don't think the timespan of the charts 2000-2014 can lead to any other conclusion than: GW Bush & Co. did it, and Obama & Co. has intentionally kept it in the ditch!
wwxx
Blaming politicians for this hides the real forces ... those who use our grand children's futures as fodder ... no it's not Bush or Obama but the FED and those who own/control them
Ok Bear, you need not blame the politicians, but it is those politicians (the executive, legislative, & judicial branches of gov.~~local/state/federal) that are the authority, give the authority, and have abused their authority to govern the country. And I take comfort in knowing exactly who and what are responsible for this new normal we currently live in, it is the previous, and current government's authority to oversee such things as The Federal Reserve Board, or the Military, or the Dept. of Homeland Security, etc.
To expect that the government, and the authority assigned to it, is 'somehow hiding those responsible' for the direction we now call the new normal, is strange to me. I squarely blame the governments past, & present, I squarely blame the leadership thereof. Just a few years ago the new normal was referred to as 'neocon', and there was nothing, NOTHING the general public could do about it. There were 'blue dog democrats' that would roll over at the snap of the fingers. There were countless distractions, lies, and other less honourable deeds, that encouraged The Fed, and the direction of it.
Ok Bear, you can argue it was 'The Fed' but I argue the responsibility is with the US Congressional leadership, along with the Executive, and the Judicial, that have intentionally endorsed everything The Fed has done, including vetting the leadership thereof. As they endorse the Treasury, or the Dept. of Justice, or the Military, the leadership demands to plow this neocon ditch, and continue plowing with their pitiful roulette of excuses, and lame legal claims, lies, and daily distractions are integral to the new normal.
There is a blogger here at ZH, named George Washington, read any of his essays, and my point is proven ten thousand times over, full of boni fide reference as to the cover-up features the US government routinely uses.
I don't think blaming those in leadership positions is hiding the truth. And every documentation, every incident revealed for what it actually was, for every leader that talks out of both sides of his mouth, then they should receive a square accounting thereof.
Could we agree that Nixon was responsible for going off of the gold standard? Or Clinton was responsible for NAFTA? Johnson for Vietnam? Reagan's middle name was 'trickle down economics' and the first Bush liked his middle name so much that he renamed himself with it. Blame it on 'The Fed' if you want, but Margaret Thatcher was up to the same direction as Reagan, if you recall. And while I'm grinding on Reagan, lest we forget his responsibility toward the Iran contra thingy, and then at that time everyone in leadership hailed that flipping Oliver North as some sort of hero~~~that is the direction the government has taken. GW Bush & Co. already had a neocon plan in mind, and in play, when he was elected by the US Supreme Court back in 2000/Florida, lest you forget. 9-11-2001 occured, along with Condolesa Rice and the whole gang watching, pretending to be on guard, and don't forget the US Congress that passed the AUMF 3 days later, and lots of other fun stuff since then, their beloved Patriot Act for example.
Only 3 days and the AUMF became law, so don't believe that Congress cannot legislate whatever, whenever suits their neocon agendas. And the likes of Nancy Pelosi, claiming on CNN back in 2004 when the torture pixs were published from Austrailia...figure it out for yourself Bear, what she claimed, and yet she was part of the inner group, privy to all the CIA secret stuff. They kept that lie under wraps for many years afterwards, if you recall. You may remember Obama just earlier this year finally admitted 'we tortured some folks'.
It was GW Bush that summoned Sen. McCain & Sen. Obama to his office just before the election, just before the economic crash of 2008 ripped worldwide havoc, it doesn't take a rocket scientist to figure out...specific neocon 'economic direction' was given to those candidates.
So ya, I blame the politicians, seeking to hide nothing.
wwxx
GDP per person includes artificial asset inflation (such as with the national shack mania in select parts of the country). If that's true, that would mean an artificial GDP to some extent, as inflated assets are only productively created once. In other words, "precieved", not produced, value of goods and services. This means asset owners artificially benefit, not blue collar working Americans gaining financial ground the old fashioned way: earning it in new, good-paying manufacturing jobs.
Secondly, the per-person GDP figure for the American chart CLEARLY DOESN'T mean average income of 50 or so thousand dollars per person. A majority of Americans today earn $35 thousand dollars or LESS per year. Therefore, the average worker is clearly not benefitting fully from the dollar value of their productivity.
And that's at a HUGE level of debt-created growth--NOT savings and profit-reinvested growth.
More reasons we have problems...
m
Singapore's really shot out ahead of the pack! I guess they are on the hugest part of the world trade stream though, but still that some outlier.