Wednesday, May 18, 2016

 

Spain now owes more money than the wealth generated by its economy

Public debt over 100% of GDP for first time in more than a century.

First-quarter debt figure of €1.095 trillion takes Spain back to early 19th-century levels despite growth.

For the first time since 1909, Spain’s public debt has surpassed 100% of its economic output.

Figures released by the Bank of Spain on Wednesday show that the state now owes more money than the wealth generated by the Spanish economy, which is growing but not at a fast enough clip to cover its payment commitments.

First-quarter data show that public administrations have accumulated debt worth €1.095 trillion, up from €1.070 trillion by the end of December last year.

This situation is not exclusive to Spain. Italy’s debt-to-GDP ratio is close to 130%

While official GDP figures for the January-to-March period have not been released yet, preliminary numbers show that output grew 0.8% from the last quarter of 2015. For the debt-to-GDP ratio to be lower than 100%, economic growth should have been 2.2% instead.

This low growth estimate evidences that public debt is now in excess of 100% of GDP.

Another reason for this high ratio is the fact that public debt rose significantly in February and March. In just 31 days, another €14 billion were added.

Tags : , ,

Share

Social

The idea behind the text.
Respect for the truth is almost the basis of all morality.
Nothing can come from nothing.



Follow

Popular Topics

Read

Well, the way they make shows is, they make one show. That show's called a pilot. Then they show that show to the people who make shows, and on the strength of that one show they decide if they're going to make more shows.

Like you, I used to think the world was this great place where everybody lived by the same standards I did, then some kid with a nail showed me I was living in his world, a world where chaos rules not order, a world where righteousness is not rewarded. That's Cesar's world, and if you're not willing to play by his rules, then you're gonna have to pay the price.

You think water moves fast? You should see ice. It moves like it has a mind. Like it knows it killed the world once and got a taste for murder. After the avalanche, it took us a week to climb out. Now, I don't know exactly when we turned on each other, but I know that seven of us survived the slide... and only five made it out. Now we took an oath, that I'm breaking now. We said we'd say it was the snow that killed the other two, but it wasn't. Nature is lethal but it doesn't hold a candle to man.

You see? It's curious. Ted did figure it out - time travel. And when we get back, we gonna tell everyone. How it's possible, how it's done, what the dangers are. But then why fifty years in the future when the spacecraft encounters a black hole does the computer call it an 'unknown entry event'? Why don't they know? If they don't know, that means we never told anyone. And if we never told anyone it means we never made it back. Hence we die down here. Just as a matter of deductive logic.