Glossary entry

Dutch term or phrase:

schuldquote

English translation:

debt ratio

Added to glossary by Christopher Smith (X)
Sep 7, 2012 13:55
11 yrs ago
1 viewer *
Dutch term

schuldquote

Dutch to English Bus/Financial Economics
From an academic piece containing proposals for a new system to replace the eurozone.
"De schuldquote is het gemiddelde percentage staatschuld boven de Europese norm van 60% en een begrotingstekort van maximaal 3%."
I can't find any relevant references to 'debt quote' on the internet. Is anyone familiar with this term and its English translation?

Discussion

Christopher Smith (X) (asker) Sep 7, 2012:
I'm following the entries and discussion with interest, but will wait for 24 hours before grading. Thanks everyone for the input. Here is the context you asked for, Michael:
"Naar dit systeem moet Europa terug, onder coördinatie van de Europese Centrale Bank. Aan deze bank wordt opdracht gegeven om met ingang van een nader te bepalen datum een bandbreedte van wisselkoersen te bepalen dat van toepassing is op alle lidstaten van Europa. Per die datum hanteert iedere lidstaat een zelfgekozen munt. De ECB bepaalt de spilkoers op de startdatum en doet dat via een analyse per lidstaat van het economisch functioneren ten opzichte van elkaar, gecorrigeerd voor de schuldquote per lidstaat. De schuldquote is het gemiddelde percentage staatschuld boven de Europese norm van 60% en een begrotingstekort van maximaal 3%. In dit systeem is het mogelijk –net als in het oude- dat lidstaten niet in de bandbreedte kunnen worden geplaatst, bijvoorbeeld omdat de schuldquote ten opzichte van het economisch verdienvermogen zo hoog is geworden dat deze lidstaten in wezen failliet zijn."
Note that this is a proposal, a hypothetical situation!
Michael Beijer Sep 7, 2012:
~ Hi Christopher, can we have a little more context?
Michael Beijer Sep 7, 2012:
zie ook: • overheidsschuldquote = public debt ratio (http://www.economisch-woordenboek.nl/index.php?sectie=en-nl&... )
• staatsschuldquote = national debt ratio (JurLex)

Proposed translations

+3
3 mins
Selected

debt ratios

Peer comment(s):

neutral Michael Beijer : I don't think the 's' is needed.
16 mins
agree philgoddard : I think Michael is being a bit pedantic.
46 mins
agree writeaway
2 hrs
agree Dr Lofthouse
5 hrs
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4 KudoZ points awarded for this answer. Comment: "Thanks for your quick answer. Yes, in my context it has to be debt ratio (single) but in the supporting text offered by Buck it was plural; the context makes it clear why there was this difference. Thanks also to everyone else for your interest and input."
+1
18 mins
Dutch term (edited): schuldquote; debet ratio

debt ratio

• 'Debt Ratio is a financial ratio that indicates the percentage of a company's assets that are provided via debt. It is the ratio of total debt (the sum of current liabilities and long-term liabilities) and total assets (the sum of current assets, fixed assets, and other assets such as 'goodwill').

(...)

For example, a company with $2 million in total assets and $500,000 in total liabilities would have a debt ratio of 25%.
The higher the ratio, the greater risk will be associated with the firm's operation. In addition, high debt to assets ratio may indicate low borrowing capacity of a firm, which in turn will lower the firm's financial flexibility. Like all financial ratios, a company's debt ratio should be compared with their industry average or other competing firms.

Total liabilities divided by total assets. The debt/asset ratio shows the proportion of a company's assets which are financed through debt. If the ratio is less than 0.5, most of the company's assets are financed through equity. If the ratio is greater than 0.5, most of the company's assets are financed through debt. Companies with high debt/asset ratios are said to be "highly leveraged," not highly liquid as stated above. A company with a high debt ratio (highly leveraged) could be in danger if creditors start to demand repayment of debt.' (http://en.wikipedia.org/wiki/Debt_ratio )

• 'De debet ratio geeft aan in welke mate de totale activa is gefinancierd met vreemd vermogen. Met name in de Amerikaanse literatuur wordt deze methode veel toegepast om de solvabiliteit te meten.' (http://nl.wikipedia.org/wiki/Debt_ratio )

e.g.: 'schuldquote van de algemene overheid' = 'general government debt ratio'

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Note added at 27 mins (2012-09-07 14:23:20 GMT)
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see also 'debt-to equity ratio':

1. total liabilities divided by total shareholders' equity. (usually called 'DEBT RATIO')
2. total long-term debt divided by total shareholders' equity
3. long-term debt and preferred stock divided by common stock equity (Barron's Dictionary of Finance and Investment Terms)
Example sentence:

Debt Ratio is a financial ratio that indicates the percentage of a company's assets that are provided via debt.

Like all financial ratios, a company's debt ratio should be compared with their industry average or other competing firms.

Peer comment(s):

agree Kitty Brussaard : With 'general government debt ratio' rather than merely 'debt ratio' (the latter being a micro-economic rather than a macro-economic concept).
15 mins
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+1
40 mins

debt-to-GDP ratio

Debt-to-GDP-ratio
Andere benaming voor schuldquote: de schuldenlast van een land ten
opzichte van de omvang van de totale economie.
http://www.rtl.nl/(/financien/rtlz/print/)/components/financ...

In economics, the debt-to-GDP ratio is one of the indicators of the health of an economy. It is the amount of national debt of a country as a percentage of its Gross Domestic Product (GDP). A low debt-to-GDP ratio indicates an economy that produces a large number of goods and services and probably profits that are high enough to pay back debts. Governments aim for low debt-to-GDP ratios and can stand up to the risks involved by increasing debt as their economies have a higher GDP and profit margin.
http://en.wikipedia.org/wiki/Debt-to-GDP_ratio




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Note added at 51 min (2012-09-07 14:47:11 GMT)
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Maastricht laid out criteria for European countries that wanted to enter the so-called eurozone. All states had to have their financial houses in order by ensuring inflation was no more than 1.5 percent a year; keeping budget deficits at no more than 3 percent of GDP; and maintaining a debt-to-GDP ratio of less than 60 percent.
http://www.cfr.org/eu/eurozone-crisis/p22055
Peer comment(s):

agree Michael Beijer : Indeed! Thanks Kitty. Most of my answer relates to the micro-economic concept. / zullen we er dan misschien niet beter 'national/public debt ratio' van maken?
3 mins
Inderdaad, maar het door jou genoemde 'general government debt ratio' past wel prima in deze specifieke context. / Niet noodzakelijkerwijs beter, maar ook goed. Ik zou wel eerder 'public debt ratio' dan 'national debt ratio' gebruiken.
Something went wrong...
56 mins

national debt ratio

in this context. (see my comments elsewhere)
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