Headline: Households cut debt again in first quarter

Check this out: http://articles.marketwatch.com/2012-06-07/economy/32091085_1_household-debt-consumer-debt-consumer-credit

So here’s the story: if you’re paying off something you already bought, then you’re not “buying” new stuff, thus the economy continues to show weak growth.  Which also means that past economic growth was premised on a debt model.



Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

Create a free website or blog at WordPress.com.

%d bloggers like this: