First the link: State of the US consumer makes for a grim read
Quote of the day:
It’s pretty well known at this point that income inequality has gotten worse over the past decade. The rebound from the financial crisis disproportionately benefited the wealthy, the owners of capital, while wages have remained stagnant.
Two charts and then my two cents follows:
Study those charts for a nanosecond and you can see that auto loans and credit cards are going bad at a faster rate. All that free money at low interest rates that the Federal Reserve has pumped into banks since March 2009 has only encouraged more lending/borrowing for what most cannot afford. This too will end very badly, just like all the other times that the academics at the Fed kept rates too low for too long.