External Debt is a part of the total debt that is owed to creditors outside the country. As for year Sep 30th 2010 Japan have a total external debt of 2.44 trillion in US dollar and with a 45% of GDP. A GDP is gross Domestic Product produces the Debt-to-GDP ratio. A low debt-to-GDP ratio indicates that the county’s economy is generally healthy because it produces a large number of goods and services that are high enough to pay back its debts. <Base on a report released by the bank of Japan/ministry of Finance, Japan. Historically, from 2003 until 2012, Japan Government external debt averaged 191534.77 JPY billion reaching a all time high of 254008 JPY Billion in June of 2012 and with a low record of 141743 JPY Billion in September of 2003. The Debt increased from 250663 JPY Billion in March of 2012 to 254008 JPY Billion June of 2012. >
Last year, Japan’s gross government debt was 220 percent of gross domestic product, according to the international monetary fund, by far the largest ratio of any group of seven country. Japan’s government-debt-to-GDP ratio leaped to 113 percent in 2011 from 11.5 percent in 1991. <Historically from 1980 until 2011, Japan Government debt to GDP averaged 112.14 Percent Reaching an all time high of 211.70 Percent in December of 2011 and a record low of 50.60 Percent in December of 1980. Generally, Government debt as a percent of GDP is used by investors to measure a country ability to make future payments on its debt, thus affecting the country borrowing costs and government bond yields.>
All the big economies are bankrupt. The only thing they can think of doing is sustain themselves is print money, Print money print money. Prices go down. Print the money? How can you print all that money and not produce anything? Who takes all that printed money in the end? So many questions and so few answers. It is actually funny now, it is so ridiculous. Countries are the only entitles that can borrow from themselves it seems and...
Please join StudyMode to read the full document