The final effort in the debt-fueled “recovery” of the U.S. economy from the Great Recession – the increase in consumer credit card debt – is seen by Equifax as that of “American consumers…getting on with their lives.” Yes, indeed, their lives as debt slaves!
The above comments, and those below, have been edited for the sake of clarity and brevity to provide a fast and easy read and have been excerpted from an article* by Wolf Richter (blackrockblog.com) originally entitled This is What We’ve Been Waiting for, the True Recovery of the American Economy and which can be read in its unabridged format HERE.
It’s once again the era when American consumers live beyond their means, slither ever deeper into the glorious condition of debt slaves, all in order to crank up the economy and make it grow at a measly 1.8%.
Below is the growth of total credit card debt in the largest 25 metro areas:
5% (nationwide) is a big gain, given that there was supposedly zero inflation over these 12 months, and that the economy over the last four quarters has grown at the blinding speed, based on the newly re-rejiggered methods of figuring GDP, by a whopping 1.8%.
This is what we’ve all be waiting for, finally, the true recovery of the American economy:
- when people once again borrow to the hilt to buy imported gadgets or clothes,
- when people charge even food to their credit cards, and rent payments, and certainly healthcare expenses,
- when people charge down payments on their cars to their credit cards
- when they try to make up with debt what their stagnating salaries cannot deliver.
This is the final effort in the debt-fueled “recovery” of the U.S. economy or, as Equifax explained in its eloquent manner, “These trends suggest that American consumers are getting on with their lives.” Yes, indeed, their lives as debt slaves!