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Pastimes : Clown-Free Zone... sorry, no clowns allowed

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To: GraceZ who wrote (161247)4/21/2002 6:17:03 PM
From: Les H  Read Replies (1) of 436258
 
Perhaps the statistics for savings rates in Japan are skewed. They use savings as a proportion of disposable income. If you're in a recession and your income falls faster than your expenses, your savings rate can rise even though you're saving less since your disposable income is falling faster. The statistics in the U.S. also skew the savings rate too high. What fool making 100,000 a year and having 60,000 in disposable income after taxes would consider a yearly savings of 6,000 to be a 10 percent savings rate. It's 6 percent.
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