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How Negative Can U.S. Saving Get?

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  • Wynne Godley
  • Bill Martin

Abstract

In 1998 the volume of U.S. private spending rose by almost twice the increase in disposable income. The impact of this excess private spending financed by increased net borrowing has been profound; without it, the economy would have stagnated. Can this pattern of demand growth continue? The answer is a resounding no.

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  • Wynne Godley & Bill Martin, "undated". "How Negative Can U.S. Saving Get?," Economics Policy Note Archive 99-1, Levy Economics Institute.
    • Handle: RePEc:lev:levypn:99-1
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    File URL: http://www.levyinstitute.org/pubs/pn99_1.pdf
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    Cited by:

    1. Wymme Godley & Alex Izurieta, 2009. "The US economy: weaknesses of the "strong" recovery," PSL Quarterly Review, Economia civile, vol. 62(248-251), pages 93-101.
    2. Alex Izurieta & Terry McKinley, 2006. "Addressing Global Imbalances: A Development-Oriented Policy Agenda," Working Papers 23, International Policy Centre for Inclusive Growth.

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