Bob Rodriguez on stimulus cash: private savings vs. public dis-savings

The consumer has saved a lot of money because they've gotten all this stimulus cash. They've paid down debt. They haven't spent much more than maybe half of what they've received. This is viewed as a positive. But I say, "That's only one side of the equation." The offset is the government borrowed this money, so it results in a negative savings rate and the net effect is a system-wide savings rate that hasn't been improved. It's a very pernicious environment.

~ Bob Rodriguez, "Bob Rodriguez: We are in a Rolling Depression," by Robert Huebscher, Advisor Perspectives, September 7, 2020