A New Method of Going Galt

[Darrell Hougen]

I saw this article by Dan Kennedy on townhall.com:

The resistance is well underway.

Affluent Americans – defined as the top 20 percent of U.S. households by income – spent about 10 percent less in 2008 than they did in 2007, according to a study by luxury-goods researcher Unity Marketing. And those households with incomes of $250,000 or more are cutting back on spending even more than all affluent households overall. 54 percent of these consumers are spending even less in 2009 than in 2008.

Those $250,000+ earners, threatened and demonized by President Obama, are retaliating with their most powerful and damaging weapon: not spending. It is a quiet, deliberate, determined, very real resistance. To be sure, some of the cutbacks in spending are related to investment losses, job losses and actual reduction of spending capacity. But much more has nothing whatsoever to do with the ability to spend – only with the unwillingness to spend.

The rest of the article can be found here.

Darrell