1. Each E.U. country’s current and projected Gross Domestic Product
2. Each E.U. country’s current and projected GDP / public debt ratio
3. Each E.U. country’s current and projected GDP as a % of total EU GDP
This 3rd issue underscores the fact that by far the biggest realistic threat to the EU Sovereign Debt Crisis is not Greece, Ireland or Portugal. KEY POINT AGAIN ! The biggest threat is Sovereign debt issues is Spain. Apparently Italy is / may be in some danger as well. Spain GDP constitutes 10-15% of total EU GDP. I am currently not aware of Italy’s GDP / Debt ratio as well as Italy’s GDP / EU GDP ratio. I do not believe the GDP / Debt ratio is as large as Spain’s. I also think that Italy GDP / EU GDP ratio is larger than that of Spain.
It is important to remember that data can be manipulated ( for good and bad purposes ) to serve the needs of promoting an argument or point of view. However, the preceding 3 GDP based ratios are a relatively straight-forward, accurate, precise and simple way to frame and view the E. U. Sovereign Debt Crisis. Simplicity, clarification, due diligence, independent thinking and common sense are often ( but not always ) better measures than ‘ paralysis by analysis. ‘ Hopefully this article clarifies some of the issues involved so people can intelligently view the risks and problems and not be consumed by fear and doubt. We will see what happens.
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