The "Driver" of American "Prosperity"

The following chart shows personal income divided by personal consumption expenditures.


Click to enlarge.

No matter how important you think income is, consumption is always more important!

Show of hands: Who thinks this can end well?

January 31, 2014
Consumers spent more than expected last month despite flat incomes

WASHINGTON -- Consumers opened their wallets more than expected last month even though their incomes failed to grow, another indication the economy picked up steam heading into the new year, the Commerce Department said Friday.

Steam power for the win apparently.

Source Data:
St. Louis Fed: Custom Chart