Incomes didn't keep up with productivity
People bought on credit because incomes haven't kept up with productivity gains over past 30 years.
Immediately related elementsHow this works
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The Global Financial Crisis »The Global Financial Crisis
Long-term causes of the financial crisis? »Long-term causes of the financial crisis?
Unintended consequences of earlier public policy choices »Unintended consequences of earlier public policy choices
US spending funded by credit »US spending funded by credit
Incomes didn't keep up with productivity
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