[lbo-talk] Coming Currency Shock

[Jordan Hayes]

> If the economy is "2/3 consumer spending," what would
> happen to employment and personal incomes if people
> suddenly started saving at rates similar to those of
> Western Europe instead of Shopping For America?

First of all, hell would freeze over; we'd have bigger problems!  :)

I think speculation about unlikely events isn't very productive; for
instance, whatever made them 'suddenly' do whatever (we've discussed
before why it appears that the savings rate in the US is "lower" than in
other places) probably either would cause other things or would have
been caused by them -- that might have far more interesting consquences.

Example: what if the tax advantage of IRAs was removed?

/jordan