Tuesday, November 1, 2016

1986-1992: Preparing for Goldilocks

Graph #1: Growth Rates of Household Debt, Private Non-Financial Debt, and Non-Federal Debt
Debt growth fell after 1985. Household debt growth fell the least, non-Federal fell most, Private Non-Financial between the other two.

The fall of financial costs helped business keep inflation low. The growth of household debt was enough to bring demand and economic growth up.

No comments: