COTD 68 (US consumer credit)

I'm beginning to see it more grey than the black and white you put it with regard to savers and spenders. I began paying debt off a couple years ago and so now have more discretionary income to spend, of which I do partake. However I have friends who are neck deep in debt and have little choice than frugality. It's a give and take. As deflation pushes prices lower, the savers move in to make the smart buys. I agree old spenders are now trying to save, but old savers are now spending too.

Bashing on China didn't touch China's supergrowth, now bashing on the USA.

Stupid pig

Down down down. Hard to take on more debt what with all of the credit card companies reducing or canceling cards by the millions. And every few days I hear of this or that friend or relations not able to get more credit for this or that purchase. Suppose everyone will have to pay down the debts over the next 10 years and still be broke without any money.  All of that credit supposed will get redeployed into China and India.

consumer credit

is acting
like a parsnip now...

digging itself
deeper and deeper...
seeking more compost ...

I think the current system will be altered towards a more globally coordinated one, but will still be similar to the status quo. Evolution through minor crises, not revolution through collapse. 'They' don't want to loose control. IMO

I'm going with a consumer proposal and getting off this crazy merry-go-round! Credit has been our downfall, and the debt-based system has run its course....it's over, time to bail! Our grandparents had it right....live within your means!

I don't think it's going to happen. My wife and I, as well as everyone else in my family are in the middle of a mad dash to pay off all of our debts right now. I think the unsustainable debt-based model is going to be a thing of the past.