Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Yeah it just seems like everyone is spending. Not just wealthy people either. I wonder if people are just different these days about saving ? There's more of a me me me now attitude from many. Instant gratification. I truly wonder what people's savings and retirement accounts are like.
I think much of it is that prices are going up, there are still shortages in some areas, government promising to not allow certain products in the future, etc, so people are choosing to get what they need now.
I think much of it is that prices are going up, there are still shortages in some areas, government promising to not allow certain products in the future, etc, so people are choosing to get what they need now.
Really? What are there shortages of? I hadnt noticed that where I am.
How could the economy be heading towards a recession with all this spending happening?
Because people refuse to reduce their spending habits, and are still using credit to do so.
1 in 3 auto loan payments are currently 30 days past due, indicating big trouble ahead for many.
Also, some of the food inflation is due to shortages; same amount of consumers are competing for less goods.
Because people refuse to reduce their spending habits, and are still using credit to do so.
1 in 3 auto loan payments are currently 30 days past due, indicating big trouble ahead for many.
Also, some of the food inflation is due to shortages; same amount of consumers are competing for less goods.
My spending habits changed a long time ago. Most of the people I know, have cut back.
I have exactly 2 credit cards - one I use as a backup. There is never a balance carried forward.
There's a column in today's The Atlantic that wonders out loud about how so many recession doomers seem to have gotten things wrong as they called for a recession this year.
Here are excerpts from the article:
"In 2022, it was a matter of conventional and nearly universal wisdom that the 2023 economy would be a nightmare. Last October, a Bloomberg economic model said that the odds of a U.S. recession this year were 100 percent. No, not 99.99 percent, as in the odds that you’ll avoid being struck by lighting this evening. One hundred percent, ... "
"The Federal Reserve itself projected hundreds of thousands of job losses by this December. In a survey by the Philadelphia Fed that has been conducted since the late 1960s, the number of economists anticipating an imminent recession hit an all-time high last year, meaning the level of expert pessimism was greater than before the stagflation crisis of the 1970s, the brutal recession of the early 1980s, and the Great Recession of 2008. ... "
"... how’d those experts do? So far, terribly. We’re now in the back half of a year that was supposedly doomed, and the U.S. economy isn’t just narrowly avoiding a downturn. As the writer Noah Smith points out, nearly everything you should want to go well in an economy is going quite well right now."
"Since the Philly Fed survey started in 1968, the majority of economists have failed to anticipate every single recession. Less than a third of economists foresaw the 1990 and 2001 downturns, and they whiffed on the 2008 crash."
Regarding that last excerpt, there's an old saying that Economists have predicted 11 of the last 2 recessions.
My opinion is the American consumer will not be denied, we want STUFF and we want it now. Simplistic, but that's what's keeping restaurants full, consumer spending high, and airplanes packed with travelers. New cars are rolling out at a rate of 14.1M / year when the best predictions for this year was for auto sales at 13.7M /year. Ford's EV sales are strong.
Like Chessie Mom, our one credit card is paid in full each month as well as we get back 2% on every purchase.
__________________
- Please follow our TOS.
- Any Questions about City-Data? See the FAQ list.
- Want some detailed instructions on using the site? See The Guide for plain english explanation.
- Realtors are welcome here but do see our Realtor Advice to avoid infractions.
- Thank you and enjoy City-Data.
In spite of the most recent inflation reports, the 10-year and 30-year Treasuries are pushing close to their 52-week lows and that result suggests more inflation.
Well, since short-term rates increased faster than long-term rates then there is some yield-curve inversion but no rally in longer-term Treasuries
.
There's a column in today's The Atlantic that wonders out loud about how so many recession doomers seem to have gotten things wrong as they called for a recession this year.
So the question is: Who are you going to believe? The Atlantic or Fitch Ratings? Some of the stuff that I have seen in The Atlantic makes me question their objectivity.
Nearly three quarters of North American sectors maintain a deteriorating outlook for 2023, reflecting Fitch Ratings’ expectation for weaker core credit drivers relative to 2022. Inflation, rising rates, and tightening lending conditions remain key considerations for North American sector outlooks.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
re
