This Credit Suisse table is alarming. The table lists countries that are the biggest risks.
It's no surprise that Iceland and Greece are at the top of the list. Nor is it surprising that Portugal, Spain, Ireland, Romania, Latvia, Ukraine and Lithuania are in the top 10.
But the United States is in the 16th spot. According to the Credit Suisse, the US is now a bigger risk than Kazakhstan, Indonesia and the Philippines.
It's all about the soaring US government and private sector debt. The problem for the US is that its debt will keep growing even when the recovery comes with more spending on social security, Medicare, military and homeland security.
As Carmen Reinhart, an economics professor at the University of Maryland and a former IMF official told Associated Press, we don't know when the debt will start having an impact on ordinary Americans but that day might come. "One thing we can say with a fair amount of certainty," Professor Reinhart said. "We never know when the wolf will be at our door. The wolf is very fickle and markets can turn very quickly. And a high debt level makes us very vulnerable to shifts in sentiment that we cannot predict."
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