An article “We Can’t Keep Spending like This” by Peter Coy is about how the decline in Americans’ savings rates indicates the predicament of the economy. These are the following points this article is making: savings of Americans are at a record low for October 2022, savings accumulated during the pandemic are running out, there are no plausible ways out of this situation yet (Coy). The article claims that many Americans are struggling to maintain a standard of living they can no longer afford (Coy). This fact becomes obvious from the statistics and symbolizes the onset of an imminent crisis.
I like this article because the author draws reasonable conclusions based on statistical data. Here are the reasons why I gave this opinion: the author of the article analyzes the savings and spending rates of Americans and comes to a disappointing conclusion that it is necessary to start spending less (Coy). The author argues his position by the fact that savings rates are record low (Coy). However, there is also reason to believe that the crisis will pass painlessly, and the amount of savings will return to normal in a few years (Coy). The author sheds an important insight into the state of the economy.
This article relates to my major because it analyzes the purchasing behavior and savings rate of citizens as an indicator of the performance of the economy. My takeaway from reading this article is the fact that the US economy is going through a tough time right now and savings need to be carefully planned at this stage. Another important insight is that buying behavior reflects the economic situation. From the article it becomes clear that Americans are not aware of the economic instability in the current situation and maintain a high level of spending while reducing savings. Thus, wages do not cover all the needs of Americans. This trend should be especially clear now on the eve of the holidays. It is necessary to look for ways to resolve the current situation, including on the part of businesses, in order to maintain high sales and keep goods available to the public.
Work Cited
Coy, Peter. “We can’t keep spending like this.” The New York Times, Web.