If you happen to be American, I’ve got “good” news for you in these confusing times of a crashing economy and staggering debt. My home country, the tiny kingdom of Belgium, Europe (pop 10 million, the size of Maryland) just managed to beat the USA on the tragic “national debt per inhabitant” hitlist.
With the US reaching a breath-taking EUR 26,047 of debt for each of its +300 million citizens, Belgium actually beat the USA by posting an even more stunning EURO 28,125 worth of debt for each inhabitant on the Belgian National Debt Clock. [Figure check: this week's Tijd financial newspaper, in Dutch]. I’m slightly confused, and maybe you are too. Should we somehow be proud, having beaten the USA?
Coming up during these weeks running up to the Christmas rush: “Crashing all the way, 24h in recession-hit Antwerp“: a merry (ho-ho-ho) post with Yuletide massive unemployment, a city hall surrounded by “for sale” signs on countless restaurant and business, with the shining lights of the upcoming grand Christmas market and open-air ice skating rink convincing everyone it’s business as usual.
“Faking it, in style“, we sure haven’t forgotten how to “act rich” in this great impoverished country of mine. As always, feel free to share your related comments, but obviously, let’s keep up the holiday spirit: only uplifting, fun and amusing entries please! The sarcasm is 100% intentional – come on guys, let’s buy another Belgian built GM for Christmas! [Image: me, checking my pension fund]
This blog is not affiliated with or endorsed by the city of Antwerp, Belgium.
really? there’s a worse than ours?
[Blog author: "There is Van... The USA may well have a much worse personal credit card debt level and foreclosures we don't see in Belgium (mortgage rules are very strict here, with no sub-prime real-estate issues), but our elaborate social protection system and aid to collapsing Belgian banks have indebted us much deeper than the US.
Quick reminder: Jim Leach, former Republican senator under US president Bush introduced in 1999 the insanely "less state regulation" Gramm-Leach-BlileyAct, a banking law that allowed American financial institutions to sell sub-prime mortgages to those with virtually no assets. These repackaged US junk loans were the first of a "derivative" Tsunami that finally poisoned the world's entire financial system. US multinationals also settled in Belgium: when your economy takes a nosedive, so does ours."]
Comment by furiousball — November 14, 2008 @ 5:01 pm |
Wow… that is amazing…
and it’s all very scary….
very scary….
[Blog author: "http://www.wisebread.com/the-whole-sorry-mess-in-one-picture successfully explains the basics Terri. ]
Comment by Terri@SteelMagnolia — November 14, 2008 @ 6:26 pm |
We’re the eight worst indebted people on the planet, loaning 126,202 US dollars per citizen. http://en.wikipedia.org/wiki/List_of_countries_by_external_debt
[Blog author: "Thanks for the link Manic. The problem appears to be defining external debt in a given year, since Wikipedia lists Belgium as #9 for 'total public and private debt owed to nonresidents repayable in foreign currency, goods, or services'
with both our "External Debt Per Capita ($126,202) and External debt (348.74% of GDP) being extremely high. A tragic reality.
The USA figures are much lower (only $42,343 External Debt Per Capita), but these figures do not correlate with current data from other sources like Bloomberg or economic reality. Just look at the Wikipedia figures for a filthy rich and stable country: Switzerland - at supposedly $509,529 debt per inhabitant [5 times the Belgian debt per inhabitant, with an almost similar number of inhab and total debt - making the wiki maths visibly incorrect] they appear to be drowning, being one of the worst on this list. This Wiki list is visibly flawed with numerous outdated figures.
Also check out “money as debt” to get a clear picture.
To substantiate my point: look at #119, Iceland: seems perfectly OK in 2002 on the Wikipedia list, while that country is now really on the brink of complete bankruptcy in late 2008.)
Anyway, even if we were to agree with the Wiki figures, Belgium’s per-capita debt should add up to 3 times the US per-capita debt. Panic !
]
Comment by Manictastic — November 15, 2008 @ 3:22 pm |
Can I help by drinking more Belgian beer?
I’d be more than happy to do that for you all.
[Blog author: "Thanks VioletSky. Everyone would be pleased if you were to drink more Belgian specialty beers: the local monastery brewing the ale, the company shipping it to Canada, and you, having a great beer on your table
"]
Comment by VioletSky — November 16, 2008 @ 12:23 am |
I’m on it now. Thanks for the inspiration. Just went out for groceries for dinner and stopped at liquor store – bought some Leffe.
[Blog author: "Like Obama likes to put it: 'Yes we can (drink more Belgian beer)'. I'm supporting small local stores these days as they're the ones currently having a hard time trying to survive.
CNN (US) published a poll ( http://money.cnn.com/POLLSERVER/results/43232.html showing 47% claim they won't do any substantial shopping for Christmas. I've never seen that before. Let's have another beer. "]
Comment by VioletSky — November 16, 2008 @ 1:10 am |
Well, as the Inbev -AB merger was approved, we’ll all be drinking Belgian beer here. Well many of us anyway. I personally can’t stand Budweiser. An interesting note to that merger; Inbev was forced to sell its interest in Labatt’s. (Canadian beer, I do drink it.) They sell a lot of Labatt’s here in western, NY, and there was this fear that by having both beers under its license, it could lead to the raising of prices on both unfairly.
As for Belgium’s debt, I think a better approach would be to buy more Belgian chocolate. It’s more expensive, and won’t get you ticketed for DUI.
[Blog author: "We share the same feelings about Budweiser. I'm not sure this is common knowledge, but many Belgians resent Inbev: they've become a classic large faceless multinational buying every brand they can get hold of, with little respect for local traditions. As for Belgian chocolate: I'm still an addict after all these years, and it sure is safer than beer
"]
Comment by Mr. Nighttime — November 18, 2008 @ 4:22 am |
Well, public debt is only a part of the debt of a country. You need to add trust funds, household debts, business debts, …
check here : http://mwhodges.home.att.net/debt-summary-table.htm
The total U.S. debt was in January US$ 53 trillion dollars, around 470% of US national income, American household debts were at 100% GDP. Belgian households are not so indebted and have a “saver” profile.
Belgian public debts are enormous, but Belgian government can still steal more money from Belgians. You can’t say the same things for USA.
[Blog author: "Thanks for clearing this up from Mons, Belgium David. I must admit my original post lacked much needed research. "]
Comment by David Descamps — March 4, 2009 @ 3:30 pm |