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...most recent Fed data, use of revolving credit, like credit cards, was down 11% from the month before. Non-revolving credit - including loans for cars, boats, mobile homes, education and vacations - was off by 5.3%. The amount of outstanding consumer credit is now about what...

Author: /time Magazine | Title: Consumer Borrowing Is Down, But For How Long? | 6/6/2009 | See Source »

...none of that changes the long-term reality of how indebted Americans are a structural issue that will require more than a couple of months to return to historic normalcy. A recent research note by economists at the Federal Reserve Bank of San Francisco points out that the ratio of household debt to personal disposable income a measure of how "leveraged" individuals are has barely budged from its 2007 high of 133%. In 1960, that ratio was 55% in 1960 and in the mid-1980s...

Author: /time Magazine | Title: Consumer Borrowing Is Down, But For How Long? | 6/6/2009 | See Source »

...there are signals coming from Capitol Hill back rooms and corporate boardrooms that suggest things could be different this time. In recent weeks, health-care-industry leaders have pledged to cut their own costs by $2 trillion over the next 10 years (though they have yet to fill in the specifics). The insurance industry now says it is willing to make concessions it never would have considered before - like agreeing to set prices on policies without regard to an individual's health history - in exchange for the access to the vast new market that would come with universal coverage. "Nobody...

Author: /time Magazine | Title: The Five Big Health-Care Dilemmas | 6/5/2009 | See Source »

...Taxing benefits has already run into opposition from unions that have given up wage gains in favor of health benefits in recent rounds of negotiations. There is also the inconvenient fact that Obama attacked John McCain in last year's election for proposing exactly such a tax on something workers believe they get for free. Still, Baucus says, "Not all those benefits should be tax-free. The bulk should be tax-free, but not all of them. That's part of the solution." (See the top 10 medical breakthroughs...

Author: /time Magazine | Title: The Five Big Health-Care Dilemmas | 6/5/2009 | See Source »

...city known primarily as the site of a horrific bombing campaign by U.S. and British forces just months before the end of World War II. The bombing, which lasted 63 minutes, started fires that ultimately claimed the lives of between 18,000 and 25,000 Germans, according to a recent report by historians commissioned by the city...

Author: /time Magazine | Title: Obama in Dresden: the Non-Controversy Controversy | 6/5/2009 | See Source »

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