Merry Christmas from the Moran's
Michael is a super senior in college this moving into the final student teaching part of his education this yr. He has a school all lined up for starting student teaching this coming January.
Michael and Danae
His wife Danae graduated this December. Danae already has her first job in Social work at Catholic Charities up in Fargo ND. They joined in our family vacation this year and we had an enjoyable time.
Found on a visit to Duluth to see Nathan
Nathan is a jr. at UND studying software engineering. Sounds like this next semester will be very brutal with three software engineering classes but if he survives this next semester he will be almost home free.
Nathan and Mark wanting to go para-sailing.
He took the initiative to plan a trip out to Hollywood this past spring to visit a close friend. The trip was wonderful he reports, and he has a whole new appreciation for the beauty and culture of southern CA.
Nicole, All State Choir at St Olaf College
Nicole is a jr. in high school at Eagan High School. She had some great musical success this past yr. She was invited to All State Choir, a week of vocal training and practice at St Olaf College in Northfield, MN. She was given the honor of singing a solo at that event. You can hear a recording of that here.
Nicole, Evan and teacher Nicole Marschall at NATS
She won 3rd place in NATS, a state wide vocal competition at St John ’s University in Collegeville MN. She was given the honor of playing Belle in Eagan High School’s winter presentation of “A Christmas Carol, A New Musical”. Now she is starting to work through the issues of selecting a college.
Mark and his buddies on tech crew
Mark is an 8th grader. He has been involved in the tech crew for the play, band and speech.
Mark with the big guns
I think he would say the highlights for the yr would have been family vacation, going to a Twins game and certainly going to a Vikings game with his best Aunt.
Mark at a twins game
Anne continues being a very busy mom running kids around, volunteering in the community, working her fulltime job at LifeWorks as a Process Analyst and managing much of the house.
Family gathering for Duane's birthday
Her dad turned 80 this yr and we feel fortunate that both parents have great health and we able to celebrate the wonderful occasion.
Orchid show at Como Zoo St Paul
Her highlights of the yr are, all the great things with friends and family, going to the orchid show at the Como Zoo in St Paul, MN and our family vacation to South Carolina.
The beauty of Wilmington NC Beaches
Wayne quit is job, had some wonderful successes in photography, co-founded OxRun LLC, a web development and marketing company with his partner Dan Oksnevad. There will certainly be many adventures to come.
Captured a water spout on the beach in NC
The best highlights for his yr were volunteering with MN Teen Challenge, the wonderful family vacation to the beaches of Wilmington North Carolina, and the U2 360 Tour concert in Minneapolis .
U2 Concert Minneapolis 2011 360 Tour
So I am sure just like most of you, it was a very busy year.
My the blessings of the season be with you and yours for Christmas and all yr long!
How Bad is the US Debt Problem?
Do you have any idea how bad the US debt problem is? Does it matter at all? I had those exact same questions so I set out to do a little research to try to figure this out and satisfy my curious little brain. This paper is the result of that search.
Many of you may know that a countries debt is measured in a ratio that compares current national debt to the Gross Domestic Product (GDP). We know from Wiki that GDP, ”refers to the market value of all officially recognized final goods and services produced within a country in a given period.”
So what is a normal Debt-to-GDP ratio? How about if we ask the question a slightly different way? What are the ratios of the countries that have terrible debt problems? These may be a bit easier to find and easier to understand.
So the first thing I did was look for a list of the countries with the worst debt. This is a list of the 15 worst Debt-to-GDP countries .
tsunami just made it worse.
Japan was a surprise for me initially. I know their economy has been terrible for almost a generation now but this bad? Not only had their huge real estate bubble devastated them but also add the recent devastating tsunami and you have a complete economic disaster on
your hands. One may wonder if they will ever recover.
Many of the countries in the top 15 list are no surprise at all. They are either a banana republic or they are countries that have been experiencing civil war for a generation or more.
There are some that have been in the news for either going completely bankrupt and defaulting on bond payments like Iceland and Ireland and Greece is currently going through their civil unrest due to some of the austerity measures being put in place to attempt to stave off defaulting on their debt.
So let’s take a look at some of the more interesting countries that might be a better comparison to the United States.
Greece Debt/GDP Chart
http://www.economicsinpictures.com/2011/09/greek-debtgdp-only-22-in-1980.html
It is somewhere over 143% now.
Italy Debt/GDP Chart
http://www.tradingeconomics.com/italy/general-government-net-debt-in-percent-of-gdp-imf-data.html
Italy is sitting above 120%
Belgium Debt/GDP Chart
http://www.tradingeconomics.com/belgium/central-government-debt-total-percent-of-gdp-wb-data.html
Belgium at 92%
France Debt/GDP Chart
http://www.tradingeconomics.com/france/general-government-net-debt-in-percent-of-gdp-imf-data.html
France is above 82%
Portugal Debt/GDP Chart
http://www.indexmundi.com/portugal/public_debt.html
http://www.telegraph.co.uk/finance/financialcrisis/8404350/Portugals-economy-in-graphs.html?image=1
Portugal seems to be above 77%
Spain Debt/GDP Chart
http://research.stlouisfed.org/fred2/graph/?g=3t8
Latest numbers for Spain that I could find have the debt above 47%.
US Debt/GDP Chart
So what is the damage for the US? We have heard of all the dire predictions
from the PIGS (Portugal, Italy, Greece and Spain) of Europe so surely the US
has to be so much better off, right?
Take a look at this chart. http://dailybail.com/home/chart-us-debt-to-gdp-1940-2015.html
This is incredible!!!
Why are people not yelling this in the streets? I have heard the arguments from TV talking
heads and “Smart Analysts” that America is so much stronger than all those
other countries and that this huge dept is not a problem for us. Excuse my French, but I believe that is complete crap.
Do you remember during the .com bubble, when all the “smart” analysts were saying that “the rules of investing have changed permanently”? They went on to day that “We do not have to value stocks the way we used to do it.” Well 2008 has proven them wrong and when the markets stop taking our IOUs and interest rates go through the roof these same “Smart Analysts” will be wrong again.
Conclusion
So the take away for this article is, what are you doing to
protect yourself and your family for when that day or reckoning comes? I am not going to tell you how to do it, but
I would encourage you to start preparing for that day. Prepare for the days of hyper inflation.
Footnote:
This chart shows total of several different countries. This is mind blowing.
http://www.gfmag.com/tools/global-database/economic-data/10403-total-debt-to-gdp.html#axzz1qAHbC9LN