World’s Biggest Economies

"Budget" "Debt"

08/04/2012

Paul Munnis
TRD
August 4, 2012


Lately I have been reading Republican propaganda designed to make people think that America is in decline and that our economy is going down the drain.

WRONG!

Here is a list of the worlds largest economies.

America can carry a debt to GDP ratio of 135% before we get uncomfortable with debt. The latest figures on the size of world economies is from The Economist and are for YE 2009.

Our debt today is currently 108% of GDP and we are acting to make budget cost reductions and to increase budget income by ending the Bush Tax Cuts and revising the tax tables to keep the current tax rates for the middle class while reverting tax tables to the amounts in use before the BushTax Cuts for those people who are making $250,000 per year or higher in Adjusted Gross Income which is the amount that we report after we deduct tax credits and other tax deductions.

Also, the Capital Gains Taxes will be restored to the pre-Bush rates and the Alternative Minimum Tax (AMT) will be revised. This double whammy of budget cost reductions and increased income from taxing of the rich will put America in a class by itself in terms of a strong, stable, world economy.

Either Congress will start cutting our debt burden or else Obama will assure it by enforcing Sequestration in the form of a 10% across the board budget cut. Either Congress will reset the tax tables after the Bush Tax Cuts end or else it will be shipped over to the 113th Congress to complete and which will be seated in January of next year reflecting the election outcome.

When the smoke clears we will have no more budget deficits, the budget will be balanced, America will be paying down its debt, our GDP will be the fastest growing in the world and America will be the world's strongest economy; or else, the Republicans will put us back into recession.

The choice belongs to Congress since a President proposes a budget but Congress sets the budget and passes it; thus the ball is in the Court of Congress.

So far they have left town on recess without doing anything about the economy.

Top 50 World economies GDP, $bn, 2009

1. United States (14,119)
2. Japan (5069)
3. China (4985)
4. Germany (3330)
5. France (2649)
6. United Kingdom (2175)
7. Italy (2113)
8. Brazil (1594)
9. Spain (1460)
10. India (1377)
11. Canada (1336)
12. Russia (1232)
13. Australia (925)
14. Mexico (875)
15. South Korea (833)
16. Netherlands (792)
17. Turkey (615)
18. Indonesia (540)
19. Switzerland (492)
20. Belgium (471)
21. Poland (430)
22. Sweden (406)
23. Norway (382)
24. Austria (381)
25. Taiwan (377)
26. Saudi Arabia (376)
27. Iran (331)
28. Greece (330)
29. Venezuela (326)
30. Denmark (310)
31. Argentina (307)
32. South Africa (285)
33. Thailand (264)
34. Finland (238)
35. Colombia (234)
36. Portugal (233)
37. United Arab Emirates (230)
38. Ireland (227)
39. Hong Kong (211)
40. Israel (195)
40. Malaysia (193)
42. Czech Republic (190)
43. Egypt (188)
44. Singapore (182)
45. Nigeria (173)
46. Chile (164)
47. Pakistan (162)
48. Philippines (161)
48. Romania (161)
50. Algeria (141)