Posted: September 12, 2006

More on houshold debt!

This is the graph that depicts what I wrote about recently on household debt.

The problem is that all the journalists that are now jumping on the bandwagon have not associated the problem correctly with the Federal Government's obsession with running budget surpluses. It is a fundamental of National Accounting that a government surplus = non-government deficit. When the house of cards falls it is the Federal Government that is responsible.

Blog entry posted by bill