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Don't look now, but MarketWatch's Rex Nutting says the U.S. debt load is getting better, not...

Don't look now, but MarketWatch's Rex Nutting says the U.S. debt load is getting better, not worse. It was excessive debt - both private and public - that caused the 2008 financial meltdown. Years later we're still de-leveraging, but it's not as bad as it seems. In the 11 quarters since the recession officially ended, total domestic debt rose by $702B - just 1.4%. By contrast, in the 11 quarters before the recession began, those bubble years of 2005 - 2007, total debt increased by $10.7T - or 28%.
Comments (33)
  • J 457
    , contributor
    Comments (952) | Send Message
     
    Never as bad as it seems until you have to pay it back. Don't know what cave this guy lives in but last time I checked we were near 16 trillion in public debt with private debt climbing- see student loan bubble.
    8 Jun 2012, 08:33 PM Reply Like
  • Terry330
    , contributor
    Comments (870) | Send Message
     
    Who in GOP will pay for W. Bush's wars?
    8 Jun 2012, 09:37 PM Reply Like
  • TomasViewPoint
    , contributor
    Comments (4845) | Send Message
     
    All those people who love us internationally for helping them with foreign aid and guaranteeing their freedom and removing the despot of the year. Our crazy liberal bleeding hearts are killing us. We need to bring all that money home for a while. Frankly we should send a bill to some of the rich Arab states who complain we never help.
    8 Jun 2012, 09:46 PM Reply Like
  • WMARKW
    , contributor
    Comments (10678) | Send Message
     
    The same Congress that voted to proceed with them.
    8 Jun 2012, 11:31 PM Reply Like
  • davidingeorgia
    , contributor
    Comments (2713) | Send Message
     
    Does the DNC pay for your photocopying bill, Terry?
    9 Jun 2012, 06:39 AM Reply Like
  • untrusting investor
    , contributor
    Comments (9973) | Send Message
     
    And what about the ever expanding levels of unfunded future liabilities for government, social security, medicare, corporate pensions, and the like. Which are all exploding. So how is that affecting total debt and future obligations?
    8 Jun 2012, 08:44 PM Reply Like
  • J 457
    , contributor
    Comments (952) | Send Message
     
    He's not counting that 60 trillion.
    8 Jun 2012, 09:19 PM Reply Like
  • Van Hyder
    , contributor
    Comments (169) | Send Message
     
    It's really not a big deal, we grow enough trees to cover it. Seriously it's depressing when the huge change jar I've been saving for my son for the past 5 years can't buy a tenth of a single gold coin (troy ounce). It's just the start, a lot more purchasing power decay to come . . .
    8 Jun 2012, 08:56 PM Reply Like
  • Sheik Rattle Enroll
    , contributor
    Comments (583) | Send Message
     
    That's because everyone else is (well was) buying gold, how about a nice bit of palladium or a ruby?
    8 Jun 2012, 10:47 PM Reply Like
  • Van Hyder
    , contributor
    Comments (169) | Send Message
     
    Well I'm pretty sure the buyers of gold you were referring to were buying palladium too. I'll never buy anything "precious" that can be created in a lab (emeralds, ruby, diamonds etc.) but that's just me.
    8 Jun 2012, 10:49 PM Reply Like
  • tunaman4u2
    , contributor
    Comments (3192) | Send Message
     
    Taxing printed money is a great way to get the debt load down! ha ha ha! I'm not buying this total CRAP
    8 Jun 2012, 09:02 PM Reply Like
  • petten
    , contributor
    Comments (128) | Send Message
     
    This Rex Nutting is total nuts (on the Dem side).
    8 Jun 2012, 09:31 PM Reply Like
  • pearls before swine
    , contributor
    Comments (287) | Send Message
     
    Yep. He is the moron who wrote the article stating that Obama spent less than other presidents of the past generation. He did it by counting all of the stimulus money as Bush's spending, and then comparing successive Obama "budgets" against each other, rather the spending before Obama's term.

     

    Pure partisan sophistry. Or, perhaps he's just not too bright.
    8 Jun 2012, 10:33 PM Reply Like
  • SoldHigh
    , contributor
    Comments (1013) | Send Message
     
    Serendipitously for the US, our dept is cheap...

     

    for now...
    8 Jun 2012, 09:36 PM Reply Like
  • TomasViewPoint
    , contributor
    Comments (4845) | Send Message
     
    Several points:

     

    1. If our debt was no big deal the Federal Reserve would not be working so hard to push down interest rates and thereby the service load.
    2. Including corporations in the debt numbers is not necessarily relevant as they are transnational more and more and less of US entities. They have really rearranged their balance sheet in the last 4 years so they make a material impact to the results.
    3. A more conservative analysis would be to look at just consumer and government debt at all levels and then add on unfunded liabilities at all levels and see what we got. That is the burden that taxpayers will have to carry.
    8 Jun 2012, 09:43 PM Reply Like
  • Buddy Canuspare
    , contributor
    Comments (399) | Send Message
     
    So, we line up everyone over 65 and shoot every tenth one of them (decimation) until the unfunded Social Security, Medicare and gubmint worker pension obligations go away. Easy peasy!
    8 Jun 2012, 10:03 PM Reply Like
  • Brendan O'Boyle
    , contributor
    Comments (1192) | Send Message
     
    You mean we're not doomed? Who knew.

     

    The fear mongering everywhere you look has really gotten outrageous.
    8 Jun 2012, 10:22 PM Reply Like
  • Ron Myers
    , contributor
    Comments (256) | Send Message
     
    I suppose charging off on a credit card or mortgage does indeed count toward reducing the debt, yes...
    8 Jun 2012, 10:25 PM Reply Like
  • 1980XLS-2.0
    , contributor
    Comments (525) | Send Message
     
    I think Nutting, may be Nuts
    8 Jun 2012, 10:47 PM Reply Like
  • montanamark
    , contributor
    Comments (1444) | Send Message
     
    friday night comedy. relying on someone from marketwatch? why not ask michelle for an objective view of barack's performance? of course this better than expected falsehood goes well with the immediate preceding item referring to the "cliff"
    8 Jun 2012, 10:49 PM Reply Like
  • WMARKW
    , contributor
    Comments (10678) | Send Message
     
    People.....we've been doing this debt thing for many, many decades. Every corporation of consequence in the US carries a debt burden on their balance sheet. Some have been doing it for decades as well. Why do you think we will ever have to pay it back? Who will make us? Will the Social Security Administration demand that the Treasury pay them back their ~ $2.5 Trillion? If they did, what would the Fed and the Treasury do. Why, they would pring $2.5 Trillion and give it to the SS Administration. If the Chinese want their trillions paid back, what will we do. Well, we'll just digitally deposit the USD into their account at the Fed. So what?

     

    And don't forget....who makes money of the debt? The Fed. And, if there were no US Treasury debt, how would the Fed make any money?
    8 Jun 2012, 11:38 PM Reply Like
  • bearfund
    , contributor
    Comments (1534) | Send Message
     
    The Fed no longer makes money from the Treasury's debt. That's arguably why they're buying so much of it: they know that even at ultra-low rates the Treasury cannot afford to pay the interest.

     

    The Fed makes money by ex nihilo creation.
    9 Jun 2012, 12:02 AM Reply Like
  • machiavelli
    , contributor
    Comments (584) | Send Message
     
    Yeah, the fed makes insane profits... and yet they have stock-piled mortgage-backed securities, treasuries, and agency debt since 2008 to the tune of $trillions... what an unstoppable juggernaut... or maybe not and then WMW will be king with his mountain of gold. ^_^
    9 Jun 2012, 12:03 AM Reply Like
  • WMARKW
    , contributor
    Comments (10678) | Send Message
     
    I will choose not to be king, but be invisible like the Rothschilds. Just the guy behind the curtain pulling the strings. It's so much safer and quieter that way. BTW....that mountain of gold.....is only about 1 inch high. So I suspect, no one will pay any attention to me after all - behind the curtain that is.
    9 Jun 2012, 12:06 AM Reply Like
  • maudie
    , contributor
    Comments (482) | Send Message
     
    creatio ex nihilo
    9 Jun 2012, 09:46 AM Reply Like
  • bearfund
    , contributor
    Comments (1534) | Send Message
     
    Rising debt is deleveraging, war is peace, and freedom is slavery. Simple enough.
    9 Jun 2012, 12:21 AM Reply Like
  • dividend_growth
    , contributor
    Comments (2897) | Send Message
     
    Debt is good, until there is too much of it.

     

    Same with water, too much water will drown you.

     

    Unfortunately, many people do not recognize such simple concepts.
    9 Jun 2012, 12:55 AM Reply Like
  • That_Guy
    , contributor
    Comments (74) | Send Message
     
    a lie ...is a lie.
    9 Jun 2012, 01:51 AM Reply Like
  • User 462216
    , contributor
    Comments (95) | Send Message
     
    The truth is but a lie that has not yet been discovered.
    9 Jun 2012, 11:34 AM Reply Like
  • That_Guy
    , contributor
    Comments (74) | Send Message
     
    lie
    9 Jun 2012, 01:51 AM Reply Like
  • davidingeorgia
    , contributor
    Comments (2713) | Send Message
     
    MarketWatch, my arse. If Nutting is employed by anyone, it's the Obama re-election campaign.
    9 Jun 2012, 06:40 AM Reply Like
  • Papaswamp
    , contributor
    Comments (2203) | Send Message
     
    Yea the debt looks just spiffy...
    state and local:
    http://bit.ly/JTsrVK
    Federal:
    http://bit.ly/JTsrVO
    ...and everybody..:
    http://bit.ly/L85lP9

     

    Looks fine, yes?..just imagine 0.5% rise in interest rates. This is why the US will die a slow economic death, the Fed will have to keep interest rates near zero for years. This slowly robs anyone who tries to save, and due to the Fed's pursuit of inflation of any kind, will cause compensation received to never be enough to offset.
    http://bit.ly/MFnVkv
    9 Jun 2012, 07:01 AM Reply Like
  • WMARKW
    , contributor
    Comments (10678) | Send Message
     
    Papa....here's where we are heading - deflation! This greate article will explain.

     

    http://bit.ly/KgDC0J
    9 Jun 2012, 08:39 AM Reply Like
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