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Wednesday, August 5, 2009

Its flat as a board

The Obama US stimulus package has done nothing for US household income. It has been broadly flat for the last 2 and a half years.

If anyone is wondering about the spike in early 2008, that is the Bush stimulus package. It had the longgevity of a greenfly.

If the US is going to recover, consumption has to increase. That means that disposible income is going to have to do more than just flat-line.

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