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Purchasing power through consumer debt is at an all-time high. Whereas workers needed wage increases to buy TVs, cars, and homes... today just about everything
by matchagaucho 8y ago
Purchasing power through consumer debt is at an all-time high.
Whereas workers needed wage increases to buy TVs, cars, and homes... today just about everything can be financed.
The long-term impact of this is lower savings and delayed retirement (if retiring at all).
- meguest 8y agoIsn't the lack of wage growth the reason that most large purchases are financed?
- matchagaucho 8y agoThe Internet and IT skills have greatly optimized the credit scoring and underwriting process. It was not possible 20 years to get instantly approved for most credit lines.
- closeparen 8y agoWhen were homes primarily bought for cash?
- pmiller2 8y agoIn the US, a little over 100 years ago. Before the 1930s, mortgages were 5 years, with a very high down payment (50% would be typical). See https://bebusinessed.com/history/history-of-mortgages/ https://bebusinessed.com/history/history-of-mortgages/