Legal Commentary

The Thrift Paradox In Action

By Big Tent Democrat

AP:

Most people say they plan to use this year's tax refund to pay bills, deciding in this sour economy to be more frugal with their annual windfall. Fifty-four percent of those receiving refunds said they intend to pay off credit card, utility, housing and other bills, according to an Associated Press-GfK poll released Monday. That compares with 35 percent who said the same thing a year ago.

This is, ironically, bad for the economy in the short run, as it will lead to lower aggregate demand.

Full post as published by TalkLeft on April 13, 2009 (boomark / email).