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U.S. Household Deficit Spending: A Rendezvous with Reality

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  • Robert W. Parenteau
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    Abstract

    Over the past decade, deficit spending by U.S. households has supported the U.S. economy. Research Associate Robert W. Parenteau analyzes the financial balance of U.S. households and finds that the pace of deficit spending is likely to stall and, possibly, reverse course. This reversion will jeopardize U.S. profit and economic growth, as well as the growth of countries dependent on export-led development strategies. His research supports the position of other Levy Institute scholars who have urged policymakers to recognize the consequences of current imbalances in the U.S. economy.

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    Bibliographic Info

    Paper provided by Levy Economics Institute in its series Economics Public Policy Brief Archive with number ppb_88.

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    Date of creation: Nov 2006
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    Handle: RePEc:lev:levppb:ppb_88

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    1. Claudio H. Dos Santos & Gennaro Zezza, 2005. "A Simplified Stock-Flow Consistent Post-Keynesian Growth Model," Economics Working Paper Archive, Levy Economics Institute wp_421, Levy Economics Institute.
    2. Dimitri B. Papadimitriou & Edward Chilcote & Gennaro Zezza, 2006. "Are Housing Prices, Household Debt, and Growth Sustainable?," Economics Strategic Analysis Archive, Levy Economics Institute sa_jan_06, Levy Economics Institute.
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    Cited by:
    1. Todorova, Zdravka, 2013. "Consumption as a Social Process within Social Provisioning and Capitalism: Implications for Heterodox Economics," MPRA Paper 51516, University Library of Munich, Germany.

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