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Paying for Economic Growth by Draining Savings and Adding Credit Card Debt
Heritage Foundation Research Fellow Joel Griffith says two-thirds of all current economic growth is driven by consumer spending. "We shouldn't necessarily just cheer on the growth. We need to look at how it is that consumers are spending more. We know that real incomes have declined, yet we are spending more adjusted for inflation," Griffith said. "How are we doing that if real incomes have declined? That is because savings rates have dipped to near all-time lows while credit card debt is at all time highs. In other words, this economic growth is largely illusory, and that is why Joe Biden's poll numbers are so low."
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