Debt explained

[sergio]

 

[Alby]

Another AI imitation of Wolff.

 

[Ronnie Hotdogs]

Starts to get a bit hard to listen to since there’s no variation in his voice.

 

[Agribotics]

The government debt to GDP ratio here in Taiwan is 24.9% as of June 2025. The government is so flush with cash it's giving $325 cash to every citizen and permanent resident this month. That's on an island with virtually no natural resources but the entrepreneurial spirit of its people and a government which knows how to stay out of their way so they can create wealth. Go figure . . .

 

[FrankPintor]

The government debt to GDP ratio here in Taiwan is 24.9% as of June 2025. The government is so flush with cash it's giving $325 cash to every citizen and permanent resident this month. That's on an island with virtually no natural resources but the entrepreneurial spirit of its people and a government which knows how to stay out of their way so they can create wealth. Go figure . . .

Ireland's government debt to GDP ratio was approximately 34.9% as of the end of Q1 2025, again, on an island with virtually no natural resources but the entrepreneurial spirit of its people (and open access to a large market). Excess money goes to a SWF, rather than cash to everyone. But, as you say, go figure...

Taiwan would have the same problem as Ireland with GDP figures? Ireland prefers to use a Government Net National Income metric, because the standard GDP calculation can be distorted by multinational corporations domiciling profits for tax reasons. The debt-to-GNI ratio fell from around 170% in 2013 to approximately 70% in 2024.

 

[Agribotics]

I think the main ingredients in Ireland's economic success are its 12.5% corporate tax rate and its membership in the EU which makes it attractive to multinationals seeking to establish a European base. Not sure if there are any lessons there for Argentina to emulate.

 

[ArgentinaVet]

I think the main ingredients in Ireland's economic success are its 12.5% corporate tax rate and its membership in the EU which makes it attractive to multinationals seeking to establish a European base. Not sure if there are any lessons there for Argentina to emulate.

This and a highly disciplined native English speaking population capable of sophisticated biotechnology/pharmarceutical/chemical R & D and manufacturing. The rock solid English common law based judicial system also makes it attractive place to originate contracts/leases.

 

[SlowWalker]

This and a highly disciplined native English speaking population capable of sophisticated biotechnology/pharmarceutical/chemical R & D and manufacturing. The rock solid English common law based judicial system also makes it attractive place to originate contracts/leases.

Those pharmaceuticals are located there because of the tax benefits. Similar to them being located in Puerto Rico from my understanding, or at least in the past.

 

[gracielle]

....Similar to them being located in Puerto Rico from my understanding, or at least in the past.

I agree. Currently there are 18 pharmaceutical companies located in Puerto Rico. Among them are AstraZeneca Pharmaceuticals, Inc, Merck Pharmaceutical and Abbott Puerto Rico.

 

[FrankPintor]

I think the main ingredients in Ireland's economic success are its 12.5% corporate tax rate and its membership in the EU which makes it attractive to multinationals seeking to establish a European base. Not sure if there are any lessons there for Argentina to emulate.

I don't think the similarities are that easy to dismiss, Taiwan has a huge market across the straits, and exports are double those of Ireland to the EU. Speaking the same language as your major market is a huge advantage (one now lost to Ireland).

It's a pity you didn't address the GNP / GDP / GNI aspect, I was interested in that.

Those pharmaceuticals are located there because of the tax benefits. Similar to them being located in Puerto Rico from my understanding, or at least in the past.

The PR angle is strange, at one point Ireland and Puerto Rico were the major semiconductor exporters, but somehow the US kneecapped PR. I hope it goes better for them with the pharma industry (probably being rapidly on-shored again with the orange one's tariffs).

As for relevance to Argentina... I don't see anything useful in Taiwan, other than hard work. A certain Javier wanted to emulate Ireland not too long ago (but he had no idea what he was talking about).