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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: regli who wrote (91938)	3/6/2008 1:26:30 PM
From: benwood	Respond to of 110194

TO summarize, in the survey on 2001, 22% expected to spend the 'rebate.' A recent survey indicated 18% expected to spend the 'rebate.' I doubt there's significant statistical meaning to the difference, esp. since the two surveys are not identical as far as I know. In any event, from 2001 forward, the savings rate went down. If it goes up this time, or if the rate of change of saving goes up at least even if still negative, then I'll think the tide is turning. Maybe it's more like a finger in the dike than anything else -- they go from negative savings rate all year to negative savings rate for just 10 1/2 to 11 months, and so for that one month, they really did save. And if they start saving, then what we have is the US gov't borrowing from the Chinese and others and depositing it in the US banking system. Maybe that's the real point here.