Dismal science

Freakonomics and dire predictions for debtlodocus

By Brij ⋅ June 12, 2006 ⋅  Email This Post ⋅  Print This Post ⋅ Post a comment

It’s plain economics which is freaking out everybody:

The average American has an income of about $40,000 a year and has, as
we have seen, a personal savings rate of zero. The average Chinese
earns around $1,500 per year but has personal savings of 23 percent of
his income — and is lending a large chunk of these savings, via the
People’s Bank of China, to the average American.

Sum of all fears nicely packaged by Niall Ferguson (Harvard professor of history).

This analysis is less painful compared to the lacklustre display by Donovan and company against the Czechs. Never seen any other American sports team lacking so much in winning attitude.