Gents ... If we had never occured the current debt levels we have in this country, we would currently have an economy which is a fraction what it is today. The only thing preventing me from attempting to teach a small course in what good debt does is there would be people posting more links to some far left or far right no-nothing with all SORTS of data how debt is killing the country. Well, since I said that, perhaps it won't happen ... so here is a try ...

So ... I Will keep this REALLY simple ... in the past 25 years, overall debt in the US has increased by about 8 trillion dollars ... at the same time, our Assets have increased by about $20 trillion. Take out the $8 trillion in debt, and the $20 trillion goes with it. And we have the same 100 million employed people from 25 years ago and an unemployment rate of about 25%.

Using a micro view ... If a couple have a house which is worth $200,000 and have a mortgage of $50,000 ... ten years later they have moved ... and owe $300,000 on a house. This means their debtload has increased by a 500% ... Let's say the house is worth $800,000. Their gross value has gone up 300 % ...

This would be reported in (think about the above mentioned "nut-ball" web sites) as an untenable debt ....

I can see the headline "DEBTLOADS INCREASE BY 500% WHILE aSSETS INCREASE BY ONLY 300% - BANKRUPTCY IS IMMINENT !!"

Yet this couple's NET worth increased from $150,000 to $500,000.

Now ... Since we are having this discussion ... can we PLEASE stay on this, without any references to Bill Clinton, George W. Bush, or anyone else ? PLEASE ?