The Economic Statistic US Elites Keep ‘Hush-Hush’

Ron RobinsRon Robins; english.alrroya.com

It is a simple statistic that continues to warn of huge economic problems ahead for the US. Some economists call it the ‘marginal productivity of debt (MPD).’ It relates the change in the level of all debt (consumer, corporate, government etc.) in a country to the change in its gross domestic product (GDP). However, due to the message it is delivering, most US economists employed in financial institutions, governments and private industry, as well as financiers and politicians, want to ignore it.

And for the US economy and government finances, the MPD (and related variants of it) is continuing to indicate extremely difficult economic times ahead.

I have vague recollections of the MPD concept from my economics classes long ago. But I was re-introduced to it around 2001 by a renowned economist who, during the following few years prior to his passing, became alarmed as to the MPD path of the US. His name was Dr. Kurt Richebächer, formerly chief economist and managing director of Germany’s Dresdner Bank. Dr. Richebächer, was so respected that former US Federal Reserve Chairman, Paul Volcker once said of him that, “sometimes I think that the job of central bankers is to prove Kurt Richebächer wrong,” reported the online financial journal, The Daily Reckoning on May 15, 2004.

Investigating Dr. Richebächer’s concern further, I wrote an article on my Enlightened Economics blog on January 23, 2008, titled, Is the Amazing US Debt Productivity Decline Coming to a Bad End? I found that, “for decades, each dollar of new debt has created increasingly less and less national income and economic activity. With this ‘debt productivity decline,’ new evidence suggests we could be near the end-game… ”

Full Article.

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About 3xG Admin

I am interested in Gold, Silver, Energy, Geopolitics, Economics, Religion, Demography, History, Complex systems, Critical theory, Antipositivism, Sociology of knowledge and Chaos theory.
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One Response to The Economic Statistic US Elites Keep ‘Hush-Hush’

  1. william wallace says:

    We must balance a end game of the material fortunes
    unto a beginning in expeience of ones spiritual fortune.

    Humanity having spent the last two thousand years with
    a belief of a heaven beyond the clouds. Thus the heaven
    within almost be forgotten. At a end game of the material
    then humanity in their millions / billions willingly returning
    unto the heaven within where be the treasure of treasures.

    Don’t feel too badly / love / untold treasure only a heartbeat
    away.The world design that humanity reaching the ultimate
    in achievment // that one knowing the power of creation //the
    journey within is the final stage of humanities journey home.

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