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To: georgia2006
That is incorrect. Back in the early 90s federal debt as a % of GDP hit about 66%. Now it is more like 60%. Since GDP is growing dfaster than the accumlation of debt, the debt to GDP level has bee nfalling since 2003, after rising in 2001-02

Federal debt at the end of the fiscal year as a percent of GDP, source Budget of the US Government 2007

2000     58.0
2001     57.4
2002     59.7
2003     62.6
2004     63.7
2005     64.3
2006     66.1 (estimate)
2007     67.5 (estimate)

Since when has the USA ever paid down debt?

The federal debt shrunk relative to the GDP from 1958-1967, 1969-1970, 1972-1975, 1977-1980, and 1997-2001.

227 posted on 03/12/2006 2:57:41 PM PST by CGTRWK
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To: CGTRWK

""The federal debt shrunk relative to the GDP from 1958-1967, 1969-1970, 1972-1975, 1977-1980, and 1997-2001.""

That is not the same as paying down debt...debt continued to rise is most of those years, GDP grew faster. In 2003 and 2004 and 2005 GDP grew faster than the accumlation of debt, so your figures are wrong. Your numbers from 2005 to 2006 say that debt grw nearly 2% faster than did GDP. Thus The budget deficit in 2005-06 would have had to been over 6% of GDP or nearly 700b dollars. Those figures you posted make no sense.


245 posted on 03/12/2006 4:00:27 PM PST by georgia2006
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