Bernanke says American consumers are too bleak. That consumers “are depressed beyond reason or expectation.” Even considering everything that the American family is having to wade through the citizen is “behaving as if the economy is even worse than it actually is.”
The US economy is a model based on debt and unwise spending decisions which I refer to as Depitalism. What we have now is the infrastructure that requires the perpetuity of bad decisions in order for it to survive. What should be happening is the infrastructure being resized and realigned to wiser spending decisions > this is the too big to fail being allowed to fail and no more bailouts > the result when it all settles will be an infrastructure based on wise spending practices. The US is NOT a capitalistic society it is a mutated capitalistic society. It is capitalism with the addition of deficit spending and mechanisms in place that require such actions in order for the whole system to remain functioning. What governments, companies and corporations need to do is right size their organizations and processes to meet the new more reasonable spending practices instead of sitting by with their arms crossed, pouting saying “everything is ok”.