Sunday, October 31, 2010
I took the numbers from yesterday's graph and added in some more: Federal debt from the September 12, 1996 Z1 release (from the Fed), and M1 & M2 money from the Historical Statistics (Bicentennial edition).
There is a glitch in the matrix, a discrepancy in the money numbers between 1970 and '71, because I'm using "older" and "newer" sources. I have to look for more numbers, to see about getting around this glitch.
But the graph shows that Federal debt was higher than savings during the 1947-73 "golden age" and again approximately at the time of the 1995-2004 "golden decade."
And the graph shows that Federal debt was lower than savings when the economy's performance was less than golden.
Now that's remarkable.
Thanks again, Greg. Oh -- but I should point out that the Federal debt numbers are "outstanding" debt, not the domestically-owned portion of it.
Posted by The Arthurian at 4:10 AM