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In 1934, Britain owed the US $4.4bn of World War I debt (about £866m at 1934 exchange rates). Adjusted by the Retail Price Index, a typical measure of inflation, £866m would equate to £40bn now, and if adjusted by the growth of GDP, to about £225bn. They have repaid the re-construction loans from WWII but haven't paid a penny on the older debt. Why is that?

2007-01-04 08:53:02 · 2 answers · asked by smilindave1 4 in Social Science Economics

We did not forgive all war debts owed from WWI. The U.K. owes us $4.4bn in 1934 dollars and they have not paid one penny of it.

2007-01-04 14:51:04 · update #1

2 answers

Like many other Nations around the World, it's easier to ***** about those who have saved your bacon than to acknowledge humbly that your very existance is accredited to America.

2007-01-04 09:04:39 · answer #1 · answered by Anonymous · 0 0

The only country who paid their WWII debt to the US was Poland.

All other debts were forgiven by US.

I think that we did/do owe UK for all their military bases that were opened up to us. We could not have won the war without those, without further casualties.
The Brits were/are great, loyal Allies. Ask any Yank.

2007-01-04 09:11:09 · answer #2 · answered by ed 7 · 1 1

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