<Russ, Do you agree with that last sentence?>
I agree with this part of the sentence, "taking into consideration medical expenses, gasoline, tax cuts, home interest deductions, food, necessities, etc.". And I'd add lack of wage and salary growth.
But not especially (or at least yet) with this part, "the consumer has less money". I make a very important distinction here that has gotten us firing at cross purposes in our discussion. As long as refis are running over 2500, and credit card debt keeps expanding at 6-8%, the consumer has access "to money". True, it's not HIS or HER money, but it's still money nevertheless, that he and she can use and spend to support and nourish the Train Wreck. The consumer has borrowed 7.4 times what he's earned since the "end of the recession", and that's real demand and money. As you've well stated, the Wizards apparently have another round of that kind of nonsense in store. |
