HEAD BEEN HURTING FOR THREE YEARS NOW
June 4, 2011 9:38 PM Subscribe
People with some economics smarts: please look at this
graph and help explain it to me.
posted by shipbreaker to work & money (12 answers total) 2 users marked this as a favorite
For some extra background, this graph that is freaking me out is found at http://research.stlouisfed.org/fred2/graph/?g=Ed
. It seems sooper-obvious that the red line goes Up while the blue line goes Down. Correlation? Perhaps not.
Looks like that while the outstanding debt from household markets was being reduced (paid off from some source), the amount of debt allocated to each citizen from govt debt increased. Likely due to the bailouts being used to help balance the books of failing financial instutions. I'm no economist, but it looks like this chart is being used as evidence in an argument that the bailout has left the average American in a worse position than they were before.