Economy Fitful

Today, I percieved an article, " Economy Fitful, Americans Start to Pay as They Go" in the New York Times newspaper. There is certainly no doubt that the United States is spurring into a recession. In the 1950s and 1960s credit cards were very popular. It acted as quick money that came in handy when ever they needed it. People went out to buy new furniture, appliances for their house, and began dinning out when they wanted to rather than yearning for their payday. By the 1980s, in addition to their income, millions of people started to invest thier money in the stock market hoping for the market to go sky high so they can take home a loaf sum of money. However, the free spending days from use of credit cards are slowly shifting off. With the number of jobs the United States lost, the housing prices depreciating and the excessive increase in debt, people are spending with limitations within their household income. Therefore, the will from Americans to save has sloped down slightly to the negative, suggesting that the Americans are spending more than their disposable income. 34 Million households took their homes over the last four years by refinancing and borrowing against their equity. Meaning that they were borrowing heavily against their assets to finance their day to day life. Currently, more Amerians are heading towards discounter stores like Walmart, T.J max, Target, etc. who are thriving in business and brand name stores are decreasing in consumer spending. Not many Americans have the choice to choose to save money or invest in the stock market. Credit cards no longer satisfy people's urges to get what they desire when they want, because what the American can not afford, they can not buy. Sadly, Americans are facing limitations within their economy.

I think this article is interesting because it gives you a comparison of the percentages on how many Americans took advantage of the " pay later" ideal in the 1900s and 20th century and how it is haunting them now. This article will help the American's decision to vote for the future President. It allows us to focus on his/her promises and proposals, and hopefully it will be carried out to get the United States out this recession.

http://www.nytimes.com/2008/02/05/business/05spend.html?_r=1&ref=business&oref=slogin