Sunday, October 23, 2011

Over the Mountain (Musical Tribute)

The following chart shows personal interest income divided by wage and salary disbursements.

Click to enlarge.

Alpine Skiing

These trails are even more difficult than Black Diamond, due to exceptionally steep slopes and other hazards such as narrow trails, exposure to wind, and the presence of obstacles such as steep drop-offs or trees. They are intended only for the most experienced skiers.

This trail rating is fairly new; by the 1980s, technological improvements in trail construction and maintenance, coupled with intense marketing competition, led to the creation of a Double Black Diamond rating.

This post inspired by a post on a private blog that I read.

Source Data:
St. Louis Fed: Personal Interest Income
St. Louis Fed: Wage and Salary Disbursements


Mr Slippery said...

Those are gentle slopes compared to silver in 2011.

Silver was off trail, past the signs warning of dangerous cliffs and death.

Troy said...

Anonymous said...

The obvious point that jumps out at me in this chart is that we're in a ZIRP period.

But what's not so easy for me to get out of that chart is just how much of it is the result of people spending down their savings and 401k's and so on just to get by. Leaving them with nothing to earn interest on even if there was any interest to earn.

Stagflationary Mark said...

Mr Slippery,

I think silver fell off the chairlift. ;)

Stagflationary Mark said...


I thought of that movie while creating this post. No joke!

Stagflationary Mark said...


Have no fear! There's plenty of money out there still (M2).

That said, ZIRP can eventually do this to it though (M2 x 3 month T-Bill rate), at least in theory.

Troy said...

is the result of people spending down their savings and 401k's and so on just to get by

Not just that -- total debt (red) : is simply off-scale.

Too much money looking for yield, not enough opportunity.

This is what inflation looks like when the rich people have all the money.