Paul Krugman Doesn't Think $9 Trillion In Debt Is All That Bad

Jillian Bandes | August 25, 2009 8:15 AM

He uses comparisons about the percent of debt as part of GDP from WWII, and compared to other countries. The US economy is "enormous" and the tax base can support it.

Again, the debt outlook is bad. But we’re not looking at something inconceivable, impossible to deal with; we’re looking at debt levels that a number of advanced countries, the US included, have had in the past, and dealt with.

Sure — we've dealt with it before. But that doesn't mean we have to like it. Heated opposition to the growth of that debt, or it's existence in the first place, isn't wrong in the slightest.