10 Signs That Corporate Media Is Not Telling You the Truth About the Economy

[Harpy Eagle]

How do you explain the mass rental disaster in California where nearly a million people are on the verge of being evicted from their homes?

16 months of not having to pay rent and not being allowed to be evicted for not paying rent. It is the back rent that these people owe.

 

[justoffal]

There are plenty of “good” things about our economy, which has proven remarkably resilient during this period of war in Europe, opening up after Covid, dramatic inflation and logistical problems in 5he last two years, inflation and the Fed’s dramatic increase in interest rates. There are also remaining concerns regarding overall government debt, and corporate debt in a few pockets of the economy.

Just as a service to understanding economic debt, particularly individual and family debt as supposedly expressed by credit card debt, I fifer this correction to your comment:

“Households Far from “Tapped Out”: Credit Card Balances, Burden, Available Credit, Delinquencies & Collections”

by Wolf Richter • May 15, 2023

“Credit cards are a huge payment method but not a big borrowing method.
“Credit cards as payment method not borrowing method. Consumers use their credit cards mostly as payment method and pay off their credit cards every month. According to the Federal Reserve in April this year, consumers used their credit cards to pay for $4.9 trillion in purchases in 2021.

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“Most of these $4.9 trillion in charges were paid off by due date and never accrued interest. But because the due-date is after the end of the month, the month-end balances that never accrue interest and are paid off a few days later still show up as credit card balances in the reports. So what we’re looking at here is largely a measure of spending via credit cards and to a smaller extent interest-bearing credit card debt.





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Households Far from “Tapped Out”: Credit Card Balances, Burden, Available Credit, Delinquencies & Collections | Wolf Street

I think we both know that payment method is not the problem. It's the growing debt burden. The American consumer is caught in a vise grip of rising housing, growing medical debt, increased taxation at the municipal levels and rising interest rates across the board. Even status quo on debt isn't enough to relieve the growing strain on household finances. So while the numbers look great on paper they don't look so good in practice.

 

[justoffal]

16 months of not having to pay rent and not being allowed to be evicted for not paying rent. It is the back rent that these people owe.

Understood.....my point is this....
Now what?

 

[Harpy Eagle]

Understood.....my point is this....
Now what?

I suspect that many landlords will just eat the back rent and write it off and not boot the people as long as they are paying now.

The cost of eviction plus the time to re-rent the unit is not going to gain them their lost rent.

 

[Slade3200]

When are you going to realize I consider you a waste of my time?

The waste of time is you taking the time to respond to me but deciding to say absolutely nothing towards the topic at hand. The same time and energy could be used defending your arguments but since you can’t you just insult and dodge. Do better

 

[otto105]

Their policies are not running the economy. The illegitimate governments policies are.

Ruining the country with 3.5% unemployment rate.

Tough sell lasty fuckup.

 

[Lastamender]

Who cares what you think about much wiser commenters?
You are a waste of everybody’s time!

Then you won't be replying anymore? Good.

 

[Lastamender]

Ruining the country with 3.5% unemployment rate.

Tough sell lasty fuckup.

And record low labor participation. Manipulated numbers for stupid people.

 

[otto105]

And record low labor participation. Manipulated numbers for stupid people.

Record low WTF.

The record for lowest rate was in April 2020 and guess who president was.

 

[otto105]

I think we both know that payment method is not the problem. It's the growing debt burden. The American consumer is caught in a vise grip of rising housing, growing medical debt, increased taxation at the municipal levels and rising interest rates across the board. Even status quo on debt isn't enough to relieve the growing strain on household finances. So while the numbers look great on paper they don't look so good in practice.

So, consumer spending is decreasing?

What has real wages done this year?

 

[Lastamender]

Record low WTF.

The record for lowest rate was in April 2020 and guess who president was.

Covid did that, not Trump. Try again stupid.

 

[otto105]

Covid did that, not Trump. Try again stupid.

Excuses excuses lasty.

 

[Lastamender]

Excuses excuses lasty.

I see. A pandemic is just an excuse. A scamdemic to do exactly that.

 

[justoffal]

So, consumer spending is decreasing?

What has real wages done this year?

Consumer spending is a credit balloon