Consumer debt and the economic recovery

John Krainer

FRBSF Economic Letter, 2012, issue aug20

Abstract: A key ingredient of an economic recovery is a pickup in household spending supported by increased consumer debt. As the current economic recovery has struggled to take hold, household debt levels have grown little. Some evidence indicates that households adjusted debt in line with house price movements in their local markets. However, the data show that consumer debt cutbacks were largest among households that defaulted on mortgages or had lower credit scores, suggesting that household borrowing also was restricted by tight aggregate credit supply.

Keywords: Debt; Households; Credit (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://www.frbsf.org/wp-content/uploads/el2012-25.pdf (application/pdf)
https://www.frbsf.org/research-and-insights/public ... t-economic-recovery/ (text/html)
https://fraser.stlouisfed.org/files/docs/historica ... bsf_let_20120820.pdf (application/pdf)
https://fraser.stlouisfed.org/title/economic-lette ... omic-recovery-633556

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:fip:fedfel:y:2012:i:aug20:n:2012-25

Ordering information: This journal article can be ordered from

Access Statistics for this article

More articles in FRBSF Economic Letter from Federal Reserve Bank of San Francisco Contact information at EDIRC.
Bibliographic data for series maintained by Federal Reserve Bank of San Francisco Research Library ().