Great Graphic: Household Debt/Income

This Great Graphic was distributed on twitter by Kate Mackenzie (@kmac)and she credits Ben Rabidoux at The Economic Analyst blog, who in turn, attributes the calculations to JP Morgan.  

It shows the debt/income ratios for households in a select number of countries. As we have noted,  Canada's has the dubious honor of the not just being at the top of the chart, but also seemingly continuing to move in the wrong direction.  

One of our interpretative points is that Bank of Canada Governor Carney is leaving Canada as the proverbial bloom is coming off the rose.  The economy is under-performing.  The positive terms of trade shock appears to be going in reverse.  Excess are evident in the housing market and households.  Finance Minister Flaherty had hoped to make a recommendation to the government of Carney's replacement by the end of the month, but this may be delayed until early May.  Carney steps down in June and joins the Bank of England in July. 
Great Graphic: Household Debt/Income Great Graphic:  Household Debt/Income Reviewed by Marc Chandler on April 15, 2013 Rating: 5
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