• RufusFirefly@lemmy.world
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    1 year ago

    I’m not an economist but anecdotal evidence that I’ve picked up from a number of different sources in the last couple of years lends me to believe that consumer debt is pretty darn high. This is from the Federal Reserve and what else is an average schmuck supposed to look at?

    • Aceticon@lemmy.world
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      1 year ago

      Oh yeah, the explosion of indebtness at all levels has been the tendency for decades now, certainly ever since money creation started being done by the banks themselves when they lent money (there’s an interesting paper from the Bank Of England called “Money Creating in the Modern Economy” which is quite the eye-opener on how money is created nowadays)

      All the obcession with Public Debt is to a large extent smoke and mirrors: both consumer and corporate debt have grown just as fast or even faster and are very high as percentage of GDP compared to the historic average.

      In many ways we’re repeating the period that led to the Great Crash of 1929.

      My point in the last post was about the graphic itself rather than critical of the point you were making.