tdillian

What Will Happen If America Returns to an Historical Savings Rate?

excellent article!!!

I am in my 20s ... and I have seen what you described in your article so many times. My friends, some in their 20s, some in their 30s, buy anything and everything that want... all on loans.. credit cards.

I have never understood how the heck they can stand owing so much money. But now.. I am shocked to find they for the first time, are not buying crap they can't afford. One of them used to throw a huge new year's party, buy a case of good champagne and other things... this year, guess what? he is not throwing his yearly party, and in fact he is not hosting anything.. he wants to save as much as he can, he works in silicon valley, and if people think that that area is immune from all this spending cuts, they are kidding themselves. People here are literally scared that they will be cut in the next rounds of layoffs... no one wants to spend anything.

Again, to the author, wonderful article!