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jab If one intends to pay off the debt and be in good financial condition for the long term--then 20% is the ratio to use. Unless, of course, you intend to run deficits forever....

I would love to see 20% (of GDP) spending and 20% revenue, but I will settle for 18% revenue. Or 21% spending and 19% revenue.

As long as we can keep the deficit below two percent, and grow the economy faster than two percent per year (which is possible), we will effectively pay the debt down (as a percentage of GDP).

Peter
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