Loading ...Here’s a deflationary ingredient for the pie … although it’s really hard not to see the Gov printing wildly as things get out of control. IMO
“One of the reasons for that is that spending drops on average by 37.5% in retirement. Given that consumption accounts for 70% of US economic activity, this is a major deflationary force.
Economic growth and corporate profits go hand in hand. Which means this trend will cut down company earnings and, in turn, investors’ returns will go down further.
That’s not yet the worst news. Along with declining profits, America’s aging population has ever more profound implications for investors.”