Hägar
2011-07-30 01:13:16 UTC
... hint: It's not China
By Tom Mucha, Global Post
Truth is elusive. But it's a good thing we have math.
Our friends at Business Insider know this, and put those two principles to
work today in
this excellent and highly informative little slideshow, made even more
timely by the
ongoing talks in Washington, D.C. aimed at staving off a U.S. debt default.
Here's the big idea:
Many people - politicians and pundits alike - prattle on that China and, to
a lesser extent Japan,
own most of America's $14.3 trillion in government debt.
But there's one little problem with that conventional wisdom: it's just not
true.
While the Chinese, Japanese and plenty of other foreigners own substantial
amounts,
it's really Americans who hold most of America 's debt.
Here's a quick and fascinating breakdown by total amount held and percentage
of total U.S. debt, according to Business Insider:
Hong Kong: $121.9 billion (0.9 percent)
Caribbean banking centers: $148.3 (1 percent)
Taiwan: $153.4 billion (1.1 percent)
Brazil: $211.4 billion (1.5 percent)
Oil exporting countries: $229.8 billion (1.6 percent)
Mutual funds: $300.5 billion (2 percent)
Commercial banks: $301.8 billion (2.1 percent)
State, local and federal retirement funds: $320.9 billion (2.2 percent)
Money market mutual funds: $337.7 billion (2.4 percent)
United Kingdom: $346.5 billion (2.4 percent)
Private pension funds: $504.7 billion (3.5 percent)
State and local governments: $506.1 billion (3.5 percent)
Japan: $912.4 billion (6.4 percent)
U.S. households: $959.4 billion (6.6 percent)
China: $1.16 trillion (8 percent)
The U.S. Treasury: $1.63 trillion (11.3 percent)
Social Security trust fund: $2.67 trillion (19 percent)
So America owes foreigners about $4.5 trillion in debt.
But America owes America $9.8 trillion. But by printing
more and more money, its worth diminshes correspondingly.
It's like drinking half a Jack Daniels bottle and then re-filling
it with a brown coke/water mixture and passing it off as the
real McCoy. It's as bad as watering down good whiskey.
By Tom Mucha, Global Post
Truth is elusive. But it's a good thing we have math.
Our friends at Business Insider know this, and put those two principles to
work today in
this excellent and highly informative little slideshow, made even more
timely by the
ongoing talks in Washington, D.C. aimed at staving off a U.S. debt default.
Here's the big idea:
Many people - politicians and pundits alike - prattle on that China and, to
a lesser extent Japan,
own most of America's $14.3 trillion in government debt.
But there's one little problem with that conventional wisdom: it's just not
true.
While the Chinese, Japanese and plenty of other foreigners own substantial
amounts,
it's really Americans who hold most of America 's debt.
Here's a quick and fascinating breakdown by total amount held and percentage
of total U.S. debt, according to Business Insider:
Hong Kong: $121.9 billion (0.9 percent)
Caribbean banking centers: $148.3 (1 percent)
Taiwan: $153.4 billion (1.1 percent)
Brazil: $211.4 billion (1.5 percent)
Oil exporting countries: $229.8 billion (1.6 percent)
Mutual funds: $300.5 billion (2 percent)
Commercial banks: $301.8 billion (2.1 percent)
State, local and federal retirement funds: $320.9 billion (2.2 percent)
Money market mutual funds: $337.7 billion (2.4 percent)
United Kingdom: $346.5 billion (2.4 percent)
Private pension funds: $504.7 billion (3.5 percent)
State and local governments: $506.1 billion (3.5 percent)
Japan: $912.4 billion (6.4 percent)
U.S. households: $959.4 billion (6.6 percent)
China: $1.16 trillion (8 percent)
The U.S. Treasury: $1.63 trillion (11.3 percent)
Social Security trust fund: $2.67 trillion (19 percent)
So America owes foreigners about $4.5 trillion in debt.
But America owes America $9.8 trillion. But by printing
more and more money, its worth diminshes correspondingly.
It's like drinking half a Jack Daniels bottle and then re-filling
it with a brown coke/water mixture and passing it off as the
real McCoy. It's as bad as watering down good whiskey.