US Needs Another 25 Years Of Deleveraging: Source

Total US debt skyrocketed between 1980 and 2008, and while the country has deleveraged a bit since the end of the financial crisis it’s still incredibly high by historical standards. While it’s difficult to pin down the exact point where debt starts holding back growth, Source head of research Paul Jackson and research associate András Vig take 250% as a fair estimate and point out that it will take us 25 years to get down to that level at the current pace, with tepid growth along the way. “Though hard to be certain, it seems prudent to assume that the…