Comments on: The Brazilian banking bet Mon, 26 Sep 2016 03:26:00 +0000 hourly 1 By: Gaspard Thu, 08 Oct 2009 11:56:51 +0000 ‘Its ratio of credit to gross domestic product is 50 percent, compared with 169 percent for the United States.’ See graphic: iles/2009/09/public-and-private-debt-bur den.jpg

Are your numbers for US correct ?

I just had a thought – are we comparing apples with apples ? Credit/GDP, we are dividing a ‘cumulative position’ by a ‘period result’, i.e. balance sheet/ income statement, should it not be Credit turnover for the year/GDP for the year ?


What would the ideal ratio be then ? 50% credit and 50% cash ? 169% doesn’t sound right, hence the credit crisis.