2010 will be more of the same poison we have seen for two years at least according to Mike Whitney.  I agree with him that I do not see any up at all next year for the following reasons.  Defaults on mortgages will continue at the same pace or higher as unemployment increases continue to plague the country.  I do question some the reason for some number declines in consumer debt and savings rate.  Given the information in the Elizabeth Warren presentation linked here last night do you believe that most two worker families are putting money in savings (I don’t)  .  Is their debt load going down , yeah probably by defaulting on houses, cars and credit card debt I don’t see many people making progress on paying off card debt when they are struggling to pay mortgages and car payments.  You still see and hear of more jobs being eliminated by outsourcing or companies closing or being bought up and downsized.  Have you heard of one new business opening in your area , yeah , I saw a few here but mostly fast food places.

I hope I’m terribly wrong on all of this and will take my whipping with a grin if I am.  Meantime you can help by applying the Tiger rule,  ” IF IT AIN’T MADE BY US , THEN US DON’T NEED TO BE BUYING IT”

Explore posts in the same categories: CHECKBOOK ECONOMICS

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