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User Info GDP Report: Liar Liar Pants On Fire; entered at 2010-07-30 10:42:20
Tsberts
Posts: 2357
Registered: 2008-02-05 Minnesota
Quote:
~1% for population. Debt service is variable - total debt out is ~350% of GDP, so figure the service percentage and then figure out what's required to "tread water."


So, as long as we can keep debt service at around 0.4%, then everything's fine! That should be easy in a ZIRP environment, we just need to refinance a few Trillion into one-year or shorter duration bonds, at effectively zero interest, and everything balances out.
2010-07-30 10:42:20