Isn't the lack of wage growth the reason that most large purchases are financed?
Re:Everything Is Booming Except for Wages
by matchagaucho on Sunday August 26, 2018 @05:00PM
(#17847891)
The Internet and IT skills have greatly optimized the credit scoring and underwriting process.
It was not possible 20 years to get instantly approved for most credit lines.
Re:Everything Is Booming Except for Wages
by closeparen on Sunday August 26, 2018 @06:20PM
(#17848249)
When were homes primarily bought for cash?
Re:Everything Is Booming Except for Wages
by pmiller2 on Tuesday August 28, 2018 @05:14AM
(#17857504)
In the US, a little over 100 years ago. Before the 1930s, mortgages were 5 years, with a very high down payment (50% would be typical). See https://bebusinessed.com/history/history-of-mortgages/
Whereas workers needed wage increases to buy TVs, cars, and homes... today just about everything can be financed.
The long-term impact of this is lower savings and delayed retirement (if retiring at all).