Rerun: Ep47 “Is the US National Debt Sustainable?” with Mohamed El-Erian
All Else Equal: Making Better Decisions
00:00
Rethinking National Debt Metrics
This chapter critiques traditional methods of measuring national debt sustainability, particularly the debt-to-GDP ratio, and suggests alternative approaches like assessing debt against national assets. It highlights real-world examples, such as Japan and Argentina, to illustrate the complexities and nuances of these financial metrics. The discussion underscores the significance of context in understanding fiscal sustainability and the evolving responsibilities in domestic economic policies.
Transcript
Play full episode
