Skip to comments.Everyone The U.S. Government Owes Money To, In One Graph
Posted on 10/10/2013 1:33:21 PM PDT by Responsibility2nd
If Congress doesn't raise the debt ceiling soon, the U.S. government won't be able to pay its debts. Here's who the government owes money to — all the holders of U.S. Treasury debt, broken down by category and by how much government debt they hold.
For more, see our story: What A U.S. Default Would Mean For Pensions, China And Social Security
It'll be me and you and everyone else expecting SS benefits.
More bad English from NPR.....................
This is a bunch of hype. The balance due on he debt each month is 20 billion. The tax revenue received each month by the fed is $250 billion. So why would there be a default?
When the lead sentence is a lie, it exposes the agenda.
Interesting that Japan holds almost as much as China...
All the pundits say raising the debt ceiling isn’t to give us more future buying power, it’s to cover our overdraft.
Hold the line Republicans.Keep the Useless government shut down. and do not give in to media pressure to raise the debt ceiling . the media is lying saying the U.S. will default if the debt ceiling not raised. it’s a total lie to get Republicans to cave. keeping gov shut down is the best thing ever because Americans might finally see that government is not needed as gov shut down and nothing has happened.
That's like saying if my paycheck is $250/week, and my car payment is $20/week, AND THE REST OF MY LIVING EXPENSES is $312/week, why would I have a problem with my car payment?
Well a big chunk of that $250 Billion comes in from Jan thru April and those Bass Tards spent it all when they received it!
Here’s the real problem that they aren’t reporting. Back when our annual deficits were around $400 billion, there was enough capital on the world’s markets to absorb it every year. When 0bama came to power, his $1.6 Trillion annual debts exceeded the world’s capacity to absorb it.
Why is this a problem? I like to illustrate it by comparing it to how the two sides financed World War 1. The British financed the war by bundling the French and Russian war bonds with their own, and selling them the only place in the world where there was enough money to finance the staggering costs of the war; New York. By 1916, American bankers had so much European debt that America was bound to enter the war on the side of Britain to ensure the Allies won. The Germans, whose war effort cost just as much, were frozen out of the New York bond market. So they sold their debt to themselves. In five year notes. When the notes came due in the early 20s, nobody bought them. They lost the war. So the German people took their money home in wheelbarrows as the Weimar government paid off its own debt in worthless currency.
When we went from $400 billion to $1.6 Trillion, we went from the British model to the German model. Only we call it “quantitative easing.” By putting it into the stock market, the Fed is betting that it will stay there for a while and not be released into the economy at large to fuel Weimar-style turbo-inflation. They have inflated a stock bubble that is bound to burst.
The longer we stay on the German model, and not on the British one, the value of the debt held by Japan and China will diminish in real terms. And with it, will also go their desire to continue to prop us up financially. They will lose their “stake” in the US economy. At some point, they will write off that debt as worthless, and the dollar will cease being the world’s reserve currency.
It will make 2008 and 1929 look like the good old days.
Since Japan is sitting on so much of our cash, I wonder why their own economy doing so bad?
Isn’t all the unfunded outstanding debt about $68 trillion?
When ever I want accurate, truth telling, I turn to NPR (NOT.)
Yeah, we’ve seen more recent examples of weimar economics of course. Also done by ooga-booga africans, like Mugabe.
Actually it's like saying if my paycheck is $250/week, and my car payment is $20/week, AND MY ALIMONY PAYMENT is $312/week, why would I have a problem with my car payment?
Just wait. Obama will sprout his natural horns, and the debt wil flash grow to one tribulion.
LOL good one! And more accurate.
Half a trillion is going to fraudulent disability claims, so I’ll look forward to them getting screwed.
That comes out to about $10 grand per person, it’s not really a huge number.
On Obama’s inauguration day, the debt was $10.6 trillion according to treasurydirect.gov.
I’ve always wanted to have time to sit down and understand exactly who owes who what from a governmental standpoint and then recommend just cancelling values against each other. For example France owes britain 30M, britain owes france 40 and italy owes britan 10 and france owes italy 10 if you add it all up it washes out or maybe one country only owes another country 5 or something. Seems to me there is a spiderweb looking for a flame is all.
When Obama’s ready to put the squeeze on we know he’ll go after what will cause American citizens the most pain - and that will be private pensions. We know how dems operate now - whatever causes maximum pain to everyday citizens.
Because Obama would direct the income to be used to pay expenses before debts.
The longer we stay on the German model, and not on the British one, the value of the debt held by Japan and China will diminish in real terms. And with it, will also go their desire to continue to prop us up financially. They will lose their stake in the US economy. At some point, they will write off that debt as worthless, and the dollar will cease being the worlds reserve currency.
Walking away from, or diluting out through money printing, the Japanese and Chinese debt will not benefit the U.S. Beyond the Greenback losing international credibility, the gain from 'default' will still leave $200 trillion or so of unfunded liabilities, all of which are either literally or effectively indexed for inflation (SS, Medicare, Medicade, Obamacare, etc.). Those who think that they are being smart about this will be proven incorrect. The denouement will likely occur in a similar time frame to your German example: five years or so.
The five years of the German notes is what hit me when I read about it. That seems to be the most common term of our Treasury notes that are being floated. So yes, I would go with your five years.
By the way, I read about his in Volume 1 of Hew Strachan’s “The First World War.” He devoted a good of that volume to how the war was financed. It was pretty dry, but in the end well worth reading.
Uh, no. It’s $148 grand per taxpayer. Per citizen it’s $53 grand. Which means only about one-third of the citizens are taxpayers nowadays.
Thats all the projected SS and Medicare and GSIS and VA benefits. To be paid by future revenues (taxes) and by future borrowing.
This stuff here is just the actual amounts borrowed so far.
That’s assuming all countries are equal risks. If we lent money to Africa, China’s not going to let us cancel what we owe them just because Africa doesn’t pay us.
There is no easy way out.
Best way out of this that I can see is in fact a couple of years of hyperinflation, followed by a “revolution”, or rather a general political change of heart, followed by a rational and parsimonious government.
Thats more or less what the Germans got in the 1920’s BTW, they were doing much better by 1930, until the Great Depression screwed everything up again and eventually gave them the Nazis.
That optimistic scenario doesn’t seem likely in our case. Argentina has been in this boat many times and has never recovered.
The Weimar government actually did rather well given the very bad cards they were dealt.
I doubt our system will manage as well.
We could begin by defunding NPR.
I agree. WHY are they still operating? They are nothing but non-essential government employees.
I took the $$$ we owe to Japan in bonds
and divided by their population of 127 million people.
are you answering a different question?
Thanks for the clarity.
Quantitative easing is simply creating fictitious money and then lending it to oneself.
This is a federal offense for anyone except the Federal Government.
I know, but I’ve always worked complex problems through cancellations and simplification first then and only then addressing the underlying real issue.
I think the govts keep it complex on purpose to prevent as much as possible the “serfs” understanding of what is really going on.
Agree - defund NPR.
And tell the feral reserve to go pound sand.
The issue is that Obama could artificially cause the default to happen because he knows his MSM groupies will be working overtime to say that if he forces a default by his own actions it is still entirely on the Tea Party. And the House GOP may not be able to do much to counter it.
The reality remains that we have the Evil Party and the Stupid Party, and right now this reality is rearing its ugly head higher than it has in a long time.
liberals cannot do math... china’s debt rectangle is supposed to be half the other foreign countries at 2.6... yet the china rectangle is not half. NPR does not do graphs well. or the truth.
True and true...
Its pathetic to watch the repub negotiate with themselves. They keep making new offers every few hours. What ever happened to making an offer and then WAITING for a counter offer? They are on the ropes and are not worthy of the office the people have granted them.
I think what they want is to try and put together a ton of offers and then find one that basically agrees to all the WH and Senate demands but they can also try and spin as having gotten something done. So they are putting together as many packages as possible in hopes that one of them will come close to satisfying all the aforementioned conditions. So really, not much more than throwing a mass of blobs to the wall in the hope that one sticks.