Money in my Pocket

By Econ70 | 01/09/2013
A black and white photo of the vinyl siding institute logo.

Total debt service payments as percentage of disposable income have fallen from a peak of 14.1% in 7/07 to just 10.6% today, a level last seen in 10/93; a decline of 25%. This is due to a combination of low interest rates, rising disposable income, and lots of mortgage defaults, which have reduced household debt…

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Down GDP, Down!

By Econ70 | 12/03/2012
A man in a suit and tie standing on stage.

With personal income growth flat, savings rates up and real disposable income down 0.2% in October, it’s not surprising personal consumption grew just 1.4%! The weak pace of income growth will limit Q4 GDP growth to less than 1.5% and GDP growth will be yet weaker in Q1 ’13 (1.2%) as disposable incomes will fall…

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