The total of the U.S. debt load is now $15.2 trillion, more than the annual value in goods and services of the country’s economy. Now exceeding 100% of the US Economy.
Although the specific figure is difficult to pinpoint, the benchmark was likely reached at some point in the last few days, USA Today first reported Monday.
- In layman’s terms, it means the world’s largest economy now collectively owes more than its entire annual output is worth.
The total value of all the goods and services that the U.S. produces sits at $15.17 trillion. That figure is growing at a 4.4 per cent annual pace at the moment, not enough to keep up with the increase in America’s debt load which is growing at a 10% clip.
“It’s a bit like saying your debt is as high as your family’s annual salary,” said Ian Nakamoto, research director with MacDougall MacDougall & MacTier in Toronto. “It’s a pretty symbolic moment.”
- America’s national debt has reached a worrying milestone – it is now as big as the whole of its economy.
Steve Bell of the Bipartisan Policy Center, which has proposed cutting nearly $6 trillion over ten years, said: ‘The 100 per cent mark means that your entire debt is as big as everything you’re producing in your country. Clearly, that can’t continue.’
President Obama’s 2012 budget shows the debt
passing $26 trillion ten years from now.
Among advanced economies, only Iceland, Greece, Ireland, Italy, Japan and Portugal have debts larger than their economies.