{"id":271,"date":"2009-10-30T11:11:00","date_gmt":"2009-10-30T15:11:00","guid":{"rendered":"http:\/\/www.intuitiveinvestor.com\/web\/?p=271"},"modified":"2018-08-21T17:11:08","modified_gmt":"2018-08-21T21:11:08","slug":"consumer-spending-falls","status":"publish","type":"post","link":"https:\/\/jasonapollovoss.com\/web\/2009\/10\/30\/consumer-spending-falls\/","title":{"rendered":"Consumer spending falls"},"content":{"rendered":"<p><span style=\"font-size: 16px;\">The day after good GDP news we find out that the U.S. consumer, sans economic incentives like &#8220;cash for clunkers&#8221; and &#8220;first time <span id=\"SPELLING_ERROR_0\" class=\"blsp-spelling-error\">homebuyers<\/span> tax credits,&#8221; wasn&#8217;t in the mood to spend money in September. Cash flow was reined in to the tune of 0.5%. That marks the biggest drop since December of 2008. That was in the heart of the recession as the U.S. tightened its collective sphincter.<\/span><\/p>\n<p><span style=\"font-size: 16px;\"><strong><span style=\"text-decoration: underline;\">What it means<\/span><\/strong>: As many of us economic, financial types have been saying the recession may be over, but the recovery <em>is<\/em> going to be slow. However, as not too many of us have been saying, a U.S. consumer that saves for big purchases, rather than uses credit is great for the economy long-term. In that scenario, there is a temporary hiccup in consumer spending while the U.S. consumer first pays off debts <span style=\"text-decoration: underline;\">and<\/span> then saves for the big purchase. That is probably a two year period where consumer spending bounces up and down around 0% growth. After that though spending returns. The important difference is that we go from being an indebted nation to being a lender nation. Catbird seat.<\/span><\/p>\n<p><span style=\"font-size: 16px;\">Happy Halloween to Everyone! I am going as <span id=\"SPELLING_ERROR_1\" class=\"blsp-spelling-error\">Pai<\/span> Mei of Shaw Bros. martial arts fame.<\/span><\/p>\n<p><span style=\"font-size: 16px;\">Jason<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The day after good GDP news we find out that the U.S. consumer, sans economic incentives like &#8220;cash for clunkers&#8221; and &#8220;first time homebuyers tax credits,&#8221; wasn&#8217;t in the mood to spend money in September. Cash flow was reined in to the tune of 0.5%. That marks the biggest drop since December of 2008. That [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[3],"tags":[],"class_list":["post-271","post","type-post","status-publish","format-standard","hentry","category-the-blog"],"_links":{"self":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts\/271","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/comments?post=271"}],"version-history":[{"count":0,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts\/271\/revisions"}],"wp:attachment":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/media?parent=271"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/categories?post=271"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/tags?post=271"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}