for whatever its worth mentioning:
The US Federal Deficit is always in the news - and when Chinese premier Hu Jintao arrives to a lavish reception at the White House, he comes as bigger lender to the developing world than the World Bank.
And last year, Alan Greenspan, former chairman of the Federal Reserve, said the US is pursuing a policy of weakening its currency.
In the recent past, China has defended its investment in US Treasury bonds. Meanwhile, there is concern that its position as the biggest investor in US debt may become political as well as economic.
Treasury bonds are how the US - and all governments for that matter - borrow money: they issue government securities, which other countries and institutions buy.
So, the US national debt is owned predominantly by Asian economies. The US Treasury releases the figures on this
Many Eyes : Owners of US Treasury bonds, Oct 2010, $bn
The bolded statement is WRONG:
from:
Who owns America? Hint: It's not China – Global Public Square - CNN.com Blogs
Who owns America? Hint: It's not China
Editor's Note: The following piece comes from Global Post, which provides excellent coverage of world news - important, moving and odd.
By Tom Mucha, Global Post
Truth is elusive. But it's a good thing we have math.
Our friends at Business Insider know this, and put those two principles to work today in this excellent and highly informative little slideshow, made even more timely by the ongoing talks in Washington, D.C. aimed at staving off a U.S. debt default.
Here's the big idea:
Many people — politicians and pundits alike — prattle on that China and, to a lesser extent Japan, own most of America's $14.3 trillion in government debt.
But there's one little problem with that conventional wisdom: it's just not true. While the Chinese, Japanese and plenty of other foreigners own substantial amounts, it's really Americans who hold most of America's debt.
Here's a quick and fascinating breakdown by total amount held and percentage of total U.S. debt, according to Business Insider:
Hong Kong: $121.9 billion (0.9 percent)
Caribbean banking centers: $148.3 (1 percent)
Taiwan: $153.4 billion (1.1 percent)
Brazil: $211.4 billion (1.5 percent)
Oil exporting countries: $229.8 billion (1.6 percent)
Mutual funds: $300.5 billion (2 percent)
Commercial banks: $301.8 billion (2.1 percent)
State, local and federal retirement funds: $320.9 billion (2.2 percent)
Money market mutual funds: $337.7 billion (2.4 percent)
United Kingdom: $346.5 billion (2.4 percent)
Private pension funds: $504.7 billion (3.5 percent)
State and local governments: $506.1 billion (3.5 percent)
Japan: $912.4 billion (6.4 percent)
U.S. households: $959.4 billion (6.6 percent)
China: $1.16 trillion (8 percent)
The U.S. Treasury: $1.63 trillion (11.3 percent)
Social Security trust fund: $2.67 trillion (19 percent)
So America owes foreigners about $4.5 trillion in debt. But America owes America $9.8 trillion.
