The United States national savings rate was slowly climbing soon after the economic collapse. In the middle of 2012, consumers were stashing away 11 percent of their income. However, with the illusion that the economy is getting better, consumers’ appetites for borrowing has become fierce, which also means their appetite for saving has diminished.
According to data from the Federal Reserve, the personal savings rate in the U.S. is just 5.5 percent. Of course, can anyone blame Americans for their lack of savings considering the Fed has maintained zero percent interest rates for 165 months? One positive, though, is that it’s better than the 3.6 percent Canadians are setting aside for a rainy day.
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