“…many low-income Americans find their savings dwindling or even depleted. And for them, the economic recovery is looking less buoyant.” Talmon Joseph Smith writes at The New York Times…
- Thanks to infusions of government cash that warded off an economic calamity millions of households are now sitting on bigger bank balances than before the pandemic. This has propelled “consumer spending, helped pay off debts and, at times, reduced the urgency of job hunts.”
- This, however, is coming to an end. “According to Moody’s Analytics, an economic research firm, these excess savings among many working- and middle-class households could be exhausted as soon as early next year — not only reducing their financial cushions but also potentially affecting the economy, since consumer spending is such a large share of activity.”