by Lance Roberts
Real Investment Advice
I recently published an article discussing why “recessions” are a good thing by reverting debt buildups excesses during expansions. The argument against debt reversions is always the same in that “debt-to-income” ratios low. To wit:
“One reason (of many) we don’t need a debt reversion is that household debt service costs (interest etc.) as a % of household incomes are currently at a 40 year low.” – S. Porter
If you look at a chart, it certainly would seem that would be the case.
[…] But, like most data from the Federal Reserve, you have to dig behind the numbers to reveal the real story.
So let’s do that, shall we?