Way to go American consumers. You go girl!!!! You have listened to your masters in the media and government and are dutifully pressing the accelerator as we approach the cliff. Even though your disposable personal income declined by $20 BILLION in September, you went out and spent $17 BILLION more than the previous month. WELL DONE!!!!
Hopefully, you put it all on your Mastercard or Visa. The Wall Street banks thank you from the bottom of their evil hearts. Enough of this deleveraging austerity bullshit. You put the brakes on for 3 months. That should do it. Why save money when the evil banks are paying you .25%? Apple just came out with the new iPad and your neighbor leased a new BMW. You might as well spend it before Obama taxes it away.
Real personal income is at 2006 levels. The savings rate is going down. Americans refuse to deal with reality. Our government refuses to deal with reality. The Federal Reserve refuses to deal with reality. Reality sucks. Reality is coming to a theatre near you.
From the BEA: Personal Income and Outlays, September 2010
Personal income decreased $16.8 billion, or 0.1 percent, and disposable personal income (DPI) decreased $20.3 billion, or 0.2 percent, in September … Personal consumption expenditures (PCE) increased $17.3 billion, or 0.2 percent.
Real PCE — PCE adjusted to remove price changes — increased 0.1 percent in September, compared with an increase of 0.3 percent in August.
Personal saving as a percentage of disposable personal income was 5.3 percent in September, compared with 5.6 percent in August.