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Recover Credit Card Household Debt
This year, 2009, will be remembered as the year of imposed recovery. In other words when you're economically down, you can't go anywhere but up.
Household wealth increased this year.. to $53.4 trillion. Still very much off the highs in 2007 of $65.5 trillion. Stock holdings, including big chunks held in pension funds for American workers, increased 17% to $7.4 trillion. Housing values increased 2% to $16 trillion.
Consumers are shaving off credit card debt. They paid off about a billion dollars in credit card debt or about 10% of total outstanding credit card debt---it's still a staggering $2.5 trillion.
On the other hand, Washington headed in the opposite direction. They added $1.4 trillion debt to nation's total of about $13 trillion. And they passed a spending bill for another $1.5 trillion deficit.
For fiscal warriors (like the author), the behavior of Congress and the President should earn them a "F" for fiscal performance. But we'll give them a "D-", since President Obama is at least giving lip service to fiscal discipline. We know what that means: Higher taxes coming, not restrained spending.
The American Consumers deserve a "B+". They're acting frugally and have been rewarded with higher stock and housing prices. And they're bringing down their credit card debt.
Ahorre January 1, 2010 05:09 PM