Tag: Gross Domestic Product

Gross Domestic Product – refers to the market value of all final goods and services produced in a country in a given period.GDP per capita is often considered an indicator of a country’s standard of living. Gross domestic product is related to national accounts, a subject in macroeconomics. GDP can be determined in three ways, all of which should, in principle, give the same result. They are the product (or output) approach, the income approach, and the expenditure approach.

What the Current Debt Ceiling Debate Is Telling Us!

I am a firm believer that there is a message in most things, it is just a matter of being willing to see it. The world has entered an era where debt levels, at every level of economic activity, have taken on a new focus and level of importance. Everyone, everywhere is now concerned about debt. The financial crisis of 2008 has resulted in a world wide de-leveraging process.

This has been a long time coming as politicians at every level have attempted to bribe voters into believing that they could have their cake and still be able to eat it. This has been by spending far more than they receive in tax revenue. World wide politicians have been on a dangerous fiscal bender by ignoring the 1st Rule of Economic which is that there is no such thing as a free lunch.

Cut, Cap, and Balance

It did not take long to find a web site dedicated to it, www.cutcapbalancepledge.com The Pledge is very simple:

Cut – Substantial cuts in spending that will reduce the deficit next year and thereafter.
Cap – Enforceable spending caps that will put federal spending on a path to a balanced budget.
Balance – Congressional passage of a Balanced Budget Amendment to the U.S. Constitution — but only if it includes both a spending limitation and a super-majority for raising taxes, in addition to balancing revenues and expenses.
I think the pledge is the common sense position for a solution to our nation’s budgetary and debt crisis. Left unchecked

U.S. Budget Deficit & Federal Debt

The issues and news surrounding the U.S. Deficit has been sort of like low-level background noise as ever since I was a child. However its size as a percentage of the Gross Domestic Product and the size of the interest payments on the debt as a percentage of the Federal Budget has been growing ever louder like the sounds of thunder on an ever approaching thunder-storm.

I thought I would to highlight a recent article on the topic by