A veteran economist just echoed Elon Musk and Michael Burry’s warning that Americans are drowning in credit-card debt – and he says the economy will pay the price

by lurker_bee

10 comments

  1. [America’s $1 trillion credit card bill really isn’t as bad as it seems](https://www.businessinsider.com/us-economy-debt-credit-card-debt-1-trillion-interest-rates-2023-9)

    >America’s collective credit card bill has never been higher — but despite the eye-popping dollar amount, the consumer debt situation isn’t as bad as it seems, experts told Insider.
    >
    >To be sure, $1 trillion is a lot, but that figure needs to be examined in the context of other factors, like income and wealth, economists say. And with those considerations, the hefty credit card balance in the US actually isn’t much of a problem.
    “In aggregate, I think consumers are in good shape and they have not overborrowed,” Mark Zandi, the chief economist of Moody’s Analytics, told Insider.

    Of course, a couple of right-wing Trump supporters like Musk and Burry will tell you otherwise.

  2. The federal government is running a $2T deficit ( stimulus ) yearly. That’s why everything is topsy turvy but won’t correct.

  4. Elon should pay the price, stop threatening, or we will eat you.

  6. His actually comment was

    “I’m not prepared to predict that the wheels are going to come off the bus,” he said. “But the risk is, and I agree it’s a non-trivial risk, that consumers get into trouble.”

    There’s a non-trivial risk of “trouble”. Sounds like a Tuesday.

  7. We’re also drowning in corporate welfare and wage theft – way past time to put the upper class on the street, and put their criminal corps out of biz.

    >Fact: Spending for corporate welfare programs outweighs spending for low-income programs by more than three to one: $167 billion to $51.7 billion (source: Aid for Dependent Corporations, from the Corporate Welfare Project and How Much Do We Spend on Welfare?, from the Center on Budget and Policy Priorities, FY 95 figures)

    >Fact: Total federal spending on a safety net for the poor costs the average taxpayer about $400 a year, while spending on corporate welfare programs costs the same taxpayer about $1400 a year. (source: CBO figures) [https://foreffectivegov.org/node/341](https://foreffectivegov.org/node/341)

    ​

    >Wage theft is a nationwide epidemic that costs American workers as much as $50 billion a year, a new Economic Policy Institute report finds. 
    [https://www.epi.org/press/wage-theft-costs-american-workers-50-billion/](https://www.epi.org/press/wage-theft-costs-american-workers-50-billion/)

  8. Musk? We should stop giving this clown any more print space. He has severe mental issues and needs medical intervention.

  9. So is Burry going to bet against the economy this time?

  10. Well yeah people have to prioritize rent and food now that interest rates are through the roof.

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