Could CA And U.S. Debt Be A Security Risk?

January 24, 2007
Could CA And U.S. Debt Be A Security Risk?

The federal and state debt figures are staggering and difficult to comprehend. But to make it more understandable, let's put it this way: to retire the federal debt would take 303 years, the California debt, 84 years.

However, bond debt and deficit budgets alarm Haas Business School Dean Tom Campbell. He told the Commonwealth Club today that the federal debt is now $6.3 trillion dollars and California's debt is $63 billion dollars. What that means is that for every $10 dollars in the federal and state budgets, $6 dollars goes toward debt payments and social programs -- fixed expenses -- leaving only $4 dollars to pay for everything else.

-- 16 percent is held by Japan
-- 10 percent by China
-- 9 percent by the United Kingdom
-- 15 percent by other nations