I saw this headline
...and I wondered if this is really good news. This covers December, Christmas season, which means a great deal of that consumer spending was done on credit.
“It looks like we are getting through these rough times pretty comfortably,” said David Resler, chief economist at Nomura Securities International in New York.
I kept seeing ads targeting folks who are so wealthy they can give their spouse goddamn Lexi, BMWs and the like without said spouse noticing the change in the bank account balance.
Because the increase in spending was more than the gain in incomes, the savings rate worsened to minus 1.2 percent, from minus 1 percent the previous month. A negative rate suggests consumers are dipping into savings to maintain spending. That would be the lowest savings rate since the 1930s....
Maybe they pay cash, I don't know.
I guess I'm bother by the sudden realization while reading this article that I have no idea what 'economic growth' means in tactile terms.
Delicious
Digg
Reddit
Newsvine
Furl
Google
Yahoo
