2010: The Impact of the Housing Market Boom and Bust on Consumption Spending
Consumers have always been the main pillar of aggregate economic activity in the United States, but never more so than in the most recent expansion. Consumption has hovered above 70 percent of GDP since 2002, culminating 20 years of slow but steady increases (Figure 34.1). Private consumption is also higher in relative terms compared with other large industrialized economies, where shares tend to range between 55 and 60 percent of GDP (Figure 34.2).
KeywordsReal Estate Financial Wealth Home Equity Housing Wealth Real Estate Asset
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