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Addrew Castle, with all the economic facts and figures at his fingertips, said that government debt is currently at a scarily high £170 billion. Did the economist he was interviewing correct him? No. Those trusting souls munching their cornflakes this morning will go off to work comforted by the mistaken fact that we are only in £170 billion pounds worth of debt.

 

Wrong Andrew: £170 billion is the rate at which the Government is growing the debt every year. The actual figure is closer to £800 billion and will be over a trillion by 2012.

 

Still it's only money. We've created £200 billion out of thin air (quantitative easing), why not another trillion's worth of phantom money? As Robert Mugabe was once heard to say, "what's the worst that could happen"?

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...The actual figure is closer to £800 billion and will be over a trillion by 2012...

 

That depends on what you include. If you agree that the requirement to pay for all the PFI investments and the requirement to pay future state pensions is a 'debt' then the figure is already well over £1 Trillion.

 

Still it's only money. We've created £200 billion out of thin air (quantitative easing), why not another trillion's worth of phantom money? As Robert Mugabe was once heard to say, "what's the worst that could happen"?

 

As you say, it's only money. But if you haven't got any, or if people think the money you've got is worthless, then you can't buy anything from other people.

 

More than 40% of the food you eat is bought from other people.

 

Do you think a 100 trillion billion Zimbabwean dollar note will be worth as much as a 100 trillion billion UK pound note?

 

Will it buy you a pound of spuds?

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