The chart of the day: Household net worth historically comes in at 3.7 times gross domestic product, according to Jones Trading’s Mike O’Rourke. The level stands at 4.6 times right now, he explained. The only two instances when this measure has been this high in the past 60 years was in 2000 (when an equity bubble popped) and around 2007 (when housing and credit bubbles burst).
“If there is anyone out there who actually believes U.S. policymakers have corrected the dangerous bubble-bust approach they take to the U.S. economy, look at the … chart below,” O’Rourke said. 12/10/13
“If there is anyone out there who actually believes U.S. policymakers have corrected the dangerous bubble-bust approach they take to the U.S. economy, look at the … chart below,” O’Rourke said.
12/10/13