Skip to comments.Portugal Sovereign Debt Unsustainable At 120% Debt/GDP (What About USA?)
Posted on 10/08/2013 5:28:00 AM PDT by whitedog57
The sustainability of Portugals sovereign debt remains questionable even after the EC, ECB and IMF released an optimistic view last week following the eighth and ninth review mission to the country.
The troika raised its GDP growth forecasts for the Portuguese economy. The figure for 2013 was increased to minus 1.8 percent from minus 2.3 percent. The number for the following year was lifted to 0.8 percent from 0.6 percent.
At least there is progress. But Portugal has an unsustainable debt to GDP of 120%.
Portugal has the second highest sovereign ten year yield in the EU after Greece.
If the Troika thinks that 120% debt to GDP is unsustainable, what would they think about the projected debt for the USA? How does 250% in the future sound?
Of course, the USA is a far larger economy than Portugal. But unless the USA gets their GDP growth back in gear and see a rise in real median household incomes,
We’re just a herd for milking.
Considering that the total debt of the US including unfunded liabilities is about $211 trillion and will probably read $1 quadrillion by the time the national impostor leaves office I would say that not only are we headed for a disaster but the disaster will bring down every nation when it collapses.
Humpty Dumpty won’t be able to be put back together again!
In 1984 I heard Pat Robertson go on The 700 Club and call for an International Year of Jubilee. I thought it was the nuttiest idea I’d ever heard.
Increasingly he is looking like a prophet.