Did you know that China holds only 8% of our total debt?
Here is a list of foreign debt holders: http://www.treasury.gov/resource-center/data-chart...
Foreign countries own 32% of our total debt. Another third is owned by the American public, and the final third is debt held by our own government, as in, one part of government owes another part of government.
Theoretically, that intra-governmental debt could be canceled without any consequence. Our debt is greatly exaggerated by cons.
For those who can't do the math, We owe China $1.152 Trillion divided by $14.3 Trillion = 8%
Our total debt is $14.3 Trillion
- Anonymous9 years agoFavorite Answer
I did not know this.
- Anonymous9 years ago
HERE'S the truth, and why it's so scary...any fool should know this...
The 2010 Budget proposed by President Barack Obama projects significant debt increases, both in terms of dollars and relative to GDP. The debt was projected to nearly double to $20 trillion by 2015, but was expected to increase to nearly 100% of GDP by 2020 and remain at that level thereafter. The estimates assumed real GDP growth (after inflation) ranging from 2.6% to 4.6% annually from 2010 through 2019, which exceeds Blue Chip consensus estimates. These 2009 projections were subject to revision as the debt had in fact reached about 96.5% of GDP by FY2011, much earlier than 2020.
During FY 2008, approximately 76.6% of federal spending was in the following categories: Departments of Health and Human Services (19.8%), Defense (20.3%) and Veterans Affairs (11.8%); Social Security Administration (18.2%); interest on the public debt (6.6%).
The Office of Management and Budget forecasts that, by the end of fiscal year 2012, gross federal debt will total $16.3 trillion. Thus, the projected debt will equal 101% of projected gross domestic product, which represents a milestone in the U.S. economy. Public debt alone, which excludes amounts that the government owes its citizens via various trust funds, will be 67% of GDP by the end of fiscal 2012.
- ScottLv 69 years ago
"Our debt is greatly exaggerated by cons." -- ROFLMAO
Since when are Obama and Harry Reid conservative? They are the ones running around the country crying that we can't pay our debts, and social security recipients will not be getting checks. Meanwhile they are also complaining that Republicans won't pass the ADDITIONAL spending bills that they want.
To be clear, as of February only 4.4 trillion of our total debt was foreign owned with China owning 20.4% of that so the OP is pretty close on the 8% (of the total) estimate of China's holdings.
Here is some truth for you:
For August the projected income for the US government is enough to cover ALL of the interest payments on our foreign debts, ALL of the promised social security payouts, ALL of the expected MediCare payouts, ALL of the unemployment benefits and ALL of the military salaries. Now there will be no money for anything else so other government employees will not get paid...such as the politicians, postal workers, and FBI but by no means do we have to default on our debts.
- Anonymous9 years ago
I came up with 26%. How did you do the numbers? Total outstanding treasury=4489.1 Chinese is 1152.5.
I would want to see how much the other countries owe us too in order to make a final figure.Source(s): What concerns me is not whether or not it is owed to governments or citizens of other countries but that it is owed. China is essentially an enemy; we should not be owing our enemies. We need the money here. I am not into foreign macroeconomics but I have a feeling you aren't either. Are T-bills our only form of debt? Where are the private owners of our debt located (obviously somebody is making up the difference-who is it)? How much debt do the other countries owe us to balance off what we owe them (eg if Britain owned 5% of our notes and we owned 4% of their notes that would mean we are only total 1% owed to Britain)? There are a lot of questions; I doubt if it is that simple.