AB Bernstein Says The Actual Debt-GDP Ratio Is 1,832%, CNBC Reports

Wow, that sure eclipses China’s 300% Debt-GDP ratio!

“In its calculations, AB Bernstein pulls in debt from a variety of sources and compares it to GDP as follows:

  1. 100% of GDP using federal, state and local government debt combined.
  2. 150% for households and firms
  3. 450% for financial debt, which carries “conceptual issues and risks,” namely that debt held by financial firms often represents potential in a worst-case scenario involving various derivative instruments that can carry high notional levels that are unlikely ever to be realized.
  4. 27% in trusts for social insurance programs”.

    Read the rest of the article at CNBC

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