Wednesday, September 3, 2025

UK Budget Surplus/Deficit as Percentage of GDP, 1700 to 2025

Kobeissi Letter, Sept. 1, has a great historical chart showing the levels of British budget deficits over time. Current deficits exceed the levels of deficit spending in the wars of the eighteenth century (which Adam Smith and David Hume thought would bankrupt the country) and are about the same as those incurred in the Wars of the French Revolution and Napoleon.