Global Economy Bursting?

[Big ole Boy]

OK,

So everything has been paid back more or less ....

.

I don't understand the hardline and the tone of Couch .... this is not exactly common knowledge ... is it?
Maybe it is .....

so many numbers its hard to keep tract of who is doing the screwing and who is being screwed ...

I think I got it now ....

thanks

except that graphs has figures in the 1 to 1.2 trillion dollar range ......

I am talking about 16 trillion ....

 

[Randolph Kinney]

The Global Debt Clock

http://www.economist.com/content/global_debt_clock ?fsrc=nlw|newe|9-3-2012|3337129|34772318|NA

Our interactive overview of government debt across the planet

The clock is ticking. Every second, it seems, someone in the world takes on more debt. The idea of a debt clock for an individual nation is familiar to anyone who has been to Times Square in New York, where the American public shortfall is revealed. Our clock (updated September 2012) shows the global figure for almost all government debts in dollar terms.

But the rising total is important for two reasons. First, when debt rises faster than economic output (as it has been doing in recent years), higher government debt implies more state interference in the economy and higher taxes in the future. Second, debt must be rolled over at regular intervals. This creates a recurring popularity test for individual governments, rather as reality TV show contestants face a public phone vote every week. Fail that vote, as various euro-zone governments have done, and the country (and its neighbours) can be plunged into crisis.

see interactive global map

 

[Big ole Boy]

The Global Debt Clock

http://www.economist.com/content/global_debt_clock ?fsrc=nlw|newe|9-3-2012|3337129|34772318|NA

Our interactive overview of government debt across the planet

The clock is ticking. Every second, it seems, someone in the world takes on more debt. The idea of a debt clock for an individual nation is familiar to anyone who has been to Times Square in New York, where the American public shortfall is revealed. Our clock (updated September 2012) shows the global figure for almost all government debts in dollar terms.

But the rising total is important for two reasons. First, when debt rises faster than economic output (as it has been doing in recent years), higher government debt implies more state interference in the economy and higher taxes in the future. Second, debt must be rolled over at regular intervals. This creates a recurring popularity test for individual governments, rather as reality TV show contestants face a public phone vote every week. Fail that vote, as various euro-zone governments have done, and the country (and its neighbours) can be plunged into crisis.

see interactive global map

I used to subscribe to the Economist back in the 90's .....

The debt clock they are using is the debt that has been made public .... I am not sure it reflects everything ..... anymore ....

that 16 trillion loaned to the banks ........ has not been paid back .......... at least anywher that I can see ...

 

[Couch Potato]

OK,

So everything has been paid back more or less ....

.

I don't understand the hardline and the tone of Couch .... this is not exactly common knowledge ... is it?
Maybe it is .....

so many numbers its hard to keep tract of who is doing the screwing and who is being screwed ...

I think I got it now ....

thanks

except that graphs has figures in the 1 to 1.2 trillion dollar range ......

I am talking about 16 trillion ....

That "16 trillion" is the total borrowed. Most loans from the fed are "overnight" loans. So a bank borrows $100 on the first of the month. Each day for one month it "renews" the $100 loan and on the thirtieth of the month the bank pays back the $100. Never was the outstanding balance more than the $100, but loans to the bank added together are $3,000 ($100 every day for a month.) That is how that 16 trillion number was calculated. It has absolutely nothing to due with the outstanding balance on loans.

 

[Big ole Boy]

I did not know that ....

That "16 trillion" is the total borrowed. Most loans from the fed are "overnight" loans. So a bank borrows $100 on the first of the month. Each day for one month it "renews" the $100 loan and on the thirtieth of the month the bank pays back the $100. Never was the outstanding balance more than the $100, but loans to the bank added together are $3,000 ($100 every day for a month.) That is how that 16 trillion number was calculated. It has absolutely nothing to due with the outstanding balance on loans.

thanks

Its nice to understand things ....

Couch ..... Do you think it is possible that the FED could have all kinds of arrangements like this that are not published?

 

[Big ole Boy]

GDP growth in China at 0%

yea, some smart fella who went to Cornell - named Gordon Chang says real GDP growth in China is near 0% - just saw it on youtube a couple of hours ago ....

On a more serious note:

Some happy bridge EU 2.0 huh ... well at least the markets got a boost before Obama gave his big speech. Maybe Uncle Bernie will float the EU some side money... you know - off the books ... why the heck not ... Bernie got a 1590 on his SAT's ...... and he wears a beard

 

[Big ole Boy]

Roubini - further removed from the unseen

The economist Roubini popularity is rising - as it rises he seems to moderate on the doom and gloom forecasting. I suppose the more you get requested to do main stream interviews, the more upbeat you have to become - probably being coached at the point.

Roubini's popularity has altered his perceptions .....

Perhaps he is not as isolated - he is going to more important lunches .... seems to be spending lots of airtime over in Italy .....

.... getting further removed from the unseen .... the people who live below the CPI radar

 

[prasercat]

So when does the name of this thread change to something like: The Global Economy is Climbing the Wall of Worry? or The Global Economy - A Churning Urn of Burnin' Smoke? The Global Economy - It's Bubbling Gumbo Baby!

In Colorado we have a low gas prices, oil is moving south instead of north, real estate shortages, home price increases, I see new home and new commercial construction projects under way, inflation is low, Why I even saw a double rainbow the other day.

Best Regards!

 

[Restrain]

Got gas is a town some 20 miles north, paid $3.37 a gal. Here in town it is $3.62. All due to the required "boutique" blend that accomplishes nothing, since newer cars are computer comtrolled that makes all the adjustments for altitude, etc.

 

[Big ole Boy]

Euro 2.0 - a milli-second of positive sentiment - gone

http://www.businessinsider.com/jpmorgan-ecb-engineer-a-debt-renegotation-2012-9

Well, at least the markets got a boost for a day or two and Obama got to speak during the milli-second of positive sentiment it produced .....