not really - focusing on this figure is somewhat non-nonsensical and spreads FUD albeit other than to keep prudent awareness of it. The difference between Aus and USA - is our net growth far outweighs the debt we owe and therefore we are relatively liquid if we needed to double-down on this debt. Further, much of our debt has been localed in foreign currencies - which are now all depreciated against the AUD - which is seen as a relatively safe currency given the USA downgrade. I don't propose to know when this will revert. Further, the regulation of our financial institutions has typically been quite tight through judicial activism and aggressive regulation. Unfortunately [for the world] - Wall St wasn't to the same degree. My personal view is that Governments should not adopt fiscal policy which encourages surplus - a responsible government is adopted to spend money on essential services - not carry on for political gain that it is in "surplus'. It should be net-neutral.
"A government’s balance sheet comprises both assets and liabilities. This article has demonstrated that only considering gross debt can result in an incomplete picture of public finances. By taking into account assets the public sector owns, a more accurate view of a government’s ability to respond to economic conditions can be determined.
This article has shown that Australia has undergone several periods of debt accumulation, followed by periods of fiscal consolidation. Periods of strong economic growth following episodes of debt accumulation have helped support relatively quick improvements in the public sector’s net debt position. Australia has a low level of net debt both historically and when compared with G-7 economies."
Anyway, Feel free to browse this document - http://www.treasury.gov.au/documents/1496/PDF/01_Debt.pdf
"A government’s balance sheet comprises both assets and liabilities. This article has demonstrated that only considering gross debt can result in an incomplete picture of public finances. By taking into account assets the public sector owns, a more accurate view of a government’s ability to respond to economic conditions can be determined.
This article has shown that Australia has undergone several periods of debt accumulation, followed by periods of fiscal consolidation. Periods of strong economic growth following episodes of debt accumulation have helped support relatively quick improvements in the public sector’s net debt position. Australia has a low level of net debt both historically and when compared with G-7 economies."