Monday, December 10, 2012

Taxes impact on inflation / addiction to credit: Consumer Spending Is Losing Its Vigor - WSJ.com

Consumer Spending Is Losing Its Vigor - WSJ.com


What is also a puzzle is how tax increases are somehow ignored in terms of inflation?

Sure some people don't pay them - but, for those that do, the cost of living has gone up because the government is taking more.

And, of course, we all seem to want to ignore the 'only relatively good economic growth' is being financed on a huge pile of debt!

As many of us know from past use of credit cards, eventually credit limits and higher payments really get to bit.

In this sense, like other enablers of those with an addiction, the Fed is abetting the Democrat and Obama administration habit of borrowing 42 cents of every dollar they spend. Etc.

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