[HiTech RedNeck]

It also means that when we need to buy something, we almost certainly can. The market, though slower, will be predictable and reliable.

[Sherman Logan]

Consumer spending currently makes up about 70% of U.S. gross domestic product.

The US and therefore the world economy has been based on consumer spending for many years. What I have never seen is an explanation of how such an economy can be truly sound.

It seems unbalanced to me, but I don't know enough economic theory to explain why.

[palmer]

In the U.S., for starters, since he thinks it will rebound quicker than other countries as the federal government pours stimulus into markets of all kinds.

So it's good that individuals have stopped borrowing to consume, but it's also good that the government is going to do it for us instead? Has this guy heard of mal-investment? What will govt borrowing and spending to buy all sorts of stupid windmill crap accomplish in the long run? What will it do to commodity (and production) prices for things the economy actually needs? We should consider ourselves lucky if the govt spending is merely used to dig holes and fill them back in.

[Roccus]

With that pile of money called ‘savings’ growing as it is now, how long do you think it will be before the government sinks its claws into it?