Forum Post: Top Ten Countries In Debt Why is the unemployment rate so much lower in some EU nations like the northern EU nations?
Posted 12 years ago on Dec. 23, 2011, 8:09 p.m. EST by aries
(463)
from Nutley, NJ
This content is user submitted and not an official statement
WHY is the unemployment rate so much lower in some EU nations like the northern EU nations?
Because those nations have a MASSIVE public sector that provides "jobs" for a LOT of people
Because their private sector is in shambles too. It is VERY expensive to provide those makeshift jobs
and THAT is why those nations have the HIGHEST DEBT LEVELS in the WORLD!
Debt as a % of Gross Domestic Product of those "low unemployment" nations (who are the 10 most
indebted nations in the WORLD)
Norway 251%
Austria 261%
Finland 272%
Sweden 282%
Denmark 310%
Belgium 336%
Netherlands 376%
Switzerland 402%
UK 413%
Ireland 1382%
Source: http://www.cnbc.com/id/30308959/
Your numbers are completely wrong, guy. Just a quick Google will show you that Norway's Debt:GDP ratio is .6, not 2.5. To be less than 1 means that they carry less debt than their GDP.
The Northern countries of the Eurozone have a relatively low debt:gdp ratio; Germany, for example, is around .8. The Southern Eurozone countries have fairly high ratios (they carry a lot of debt), like Greece, whose ratio is closer to 3.
It's the southern countries who have carried huge public sector employment that they couldn't afford, and it's those countries that are suffering the most now that they have to find funding and are forced to cut spending.
TLDR: Your post is flat-ass wrong.
ok - cnbc is wrong I guess
my numbers come from cnbc - take it up with them. where is your backup?
The distinction can be understood by visiting these links on Wikipedia:
http://en.wikipedia.org/wiki/List_of_countries_by_public_debt http://en.wikipedia.org/wiki/List_of_countries_by_external_debt
Note, however, aries makes a good observation. GDP is suppose to be a good barometer of how a country can repay its debt. Really, what else is there? However, any GDP is flawed with the inclusion of products and services of dubious value. For example, what is the value of a highway or bridge to nowhere? What is the value of shell casing or armored vehicles left behind in Iraq?
and so your point is what ? crushing debt is good? tell that to the Greeks lol!
If my writing is so fraught with ambiguity then I suppose I better articulate with greater attention because I do not condone excessive debt. My point is that the GDP, the denominator, may be inflated and, if so, leverage is understated.
The Germans heavily subsidize Germany, which the USA should have done long ago, instead we subsidized OTHER countries. The ability for poor countries like Africa and all ME countries to buy food from the USA at the same price that we pay is proposterous. In germany, everyone drives a Mercedes because it is subsidized by the Government and anythiing imported is heavily taxed.
In America that would mean subsidizing Americans built cars and taxing Canadian/Mexican/Japanese/Korean (BUILT) automobiles to pay for it, perfectly reasonable. It would cost American tax payers NOTHING to implement, REDUCE the price of cars built by Americans, Increase the amount of cars built in america, its a win-win-win-win, except for those companies that wish to make money off the labor of other countries citizens. F them
You would also easily see how many Chevys and Fords are built outside of the country VS Honda's which are almost all built in the USA
Germany, which has strong incentives in place to dissuade employers from laying people off in the first place, is not on that list. They have lower unemployment thus a larger tax payer base to pay for the bonds they are issuing to help other nations that are not as enlightened about supply demand economics. The Germans understand Kaynesian economics. As long as you support a large demand with full employment, both public and private, you have the tax base to supply a government with the resources to take care of everyone.
yea - no military budget and It's spelled Keynesian. They are also moving toward a more free market and away from Keyenes. So you cherry pick the one out of the whole continent lol! Are the others not Keynesians? Merry Christmas.
Oh boy. Aren't you special, you caught a typo. Wow!
What is debatable is your definitions of failed economies. You libertarians insist that your predatory free market anarchy is the only way and so you insistently characterize anything that is not libertarian dogma is failure.
True, Germany does not have an offensive military. So too with others on your cherry picked list.
Germany's strong protections for and of both its civil and private workforce is unique and not diminishing at all. This is the backbone of Germany's economy. It is responsible Keynesian government management and oversight of economic activity for the prosperity of the nation. And it works!
maybe you can move there
No. Debt is caused by the Government spending money they don't get from taxes. Not the Private Sector.
where does the money come from that the govt is spending?
Well, normally, it would come from the taxes on citizens. The Government, if they want to spend money into programs, will get the money from other countries if they do not get enough from taxes. A good government is a Government that doesn't spend anything that they can't afford, and they are especially good if they don't make high taxes and are limited, and fear the citizens.
The Democrat Party wants to increase debt.
yes - that is my point. we are on our way , we just passed 100%. Merry Christmas.
so what are you saying about the above figures?
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