Post on 23-Jun-2015
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Increased borrowings cost
• Decrease in net profits• Increasing cost of
medical facilities• Social security• Credit unavailability
•The debt ceiling for US stands at $14.249 trillion.
• Loans have become difficult for small businesses.
• Government expenditures has also significantly decreased in regard to benefits or provisions.
Low Consumer Spending.
• Inflation spurs a rise in savings by the citizens of a nation.
• High mortgage payments have already bankrupted a part of the population and others still struggle with low incomes.
• Lack of jobs and lower income.
• Lack of confidence of consumer in the stability of economy in future.