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Crossing the Magic Line

Crossing the Magic Line
Mises Wire Mark Thornton
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The United States government has just crossed the magic line where its total national debt now exceeds (more than 100%) of GDP.

See here that the U.S. national debt of $15.033 trillion is now higher than the $15.032 trillion gross domestic product. The magic line usually means that a country is plunging into a long term malaise. There are other ways of calculating debt and GDP, but it is still not a pretty picture.

Here is national debt as a percent of GDP by country according to the CIA

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