With no interest in the presidential election nor Super Bowl, and a growing disinterest in trying to drag the rest of society along into some kind of enlightenment that may not make the future so sucky as it is guaranteed to be, I found myself bored and decided to investigate why Saudi Arabia's credit rating had been cut. Yes, I knew it had something to do with collapsing oil prices, but I wanted to see how severe the ramifications was for Saudi finances.
And mercy, is it!
First we have economic growth. This is NOT GDP, though the graph will look that way. It is YEAR OVER YEAR economic growth, ie- GDP growth. In 2011 and 2012 Saudi Arabia's economy was booming, logging a near one third growth rate for both years. Not 1/3%. 33%. Growth collapsed quickly in 2013 and 2014, entering a NEGATIVE 13% GDP for 2015. Of course, Western nations aren't accustomed to such volatility in their growth rates, but it still doesn't change the fact 2015 was a devastating year for Saudi Arabia.
In one year the Saudi deficit crashed to more than 13% GDP, worse than even Barack Obama's worst year.
There really is no economic lesson here aside from the importance of diversifying your economy. But it does make me feel good to see a financial source terrorism either directly or indirectly relies upon drying up.
You may continue about your Monday with these additional warm fuzzies.