No it's not. Debt is measured in dollars. GDP is dollars per year.
Debt/GDP is $/($/yr)=yr
This ratio converts debt, a number it's hard to have intuition for, to years. It tells us how many years of productivity we owe. For those of us who don't manage $30 billion in assets years of productivity probably carries more meaning than big numbers with 12 zeros.
No it's not. Debt is measured in dollars. GDP is dollars per year.
Debt/GDP is $/($/yr)=yr
This ratio converts debt, a number it's hard to have intuition for, to years. It tells us how many years of productivity we owe. For those of us who don't manage $30 billion in assets years of productivity probably carries more meaning than big numbers with 12 zeros.