High U.S. debt means slower growth, history suggests

A new report that reviewed 200 years of economic data from 44 nations has reached an ominous conclusion for the world’s largest economy: Almost without exception, countries that are as highly indebted as the United States is today grow at sub-par rates.

The report, “Growth in a Time of Debt,” was written by two respected academic researchers who recently published a thick book on eight centuries of economic crises.

The study by Carmen Reinhart and Kenneth Rogoff ”” well-regarded economists from the University of Maryland and Harvard University, respectively ”” found statistical breaks at different points in the relationship between a country’s national debt and its gross domestic product. GDP is the broadest measure of a country’s trade in goods and services.

Read it all.

Posted in * Culture-Watch, * Economics, Politics, Economy, History, The Credit Freeze Crisis of Fall 2008/The Recession of 2007--, The National Deficit, The U.S. Government

2 comments on “High U.S. debt means slower growth, history suggests

  1. tgs says:

    What growth?

  2. Katherine says:

    Duh.