I read a wonderfully optimistic article today that refueled my faith in the U.S. economy. Shobhana Chandra of Bloomberg reported that credit is increasing all over the U.S., from Americans who are starting to take out more and more bank loans to the lenders who are handing over the loans. Both indicate that each side is confident of the borrower’s ability to pay it back, a sign that the economy is taking a turn for the better. And what’s more, Chandra reports that this exact action is exactly what could very well spur a massive influx of jobs this year. People are beginning to trust the economy again, and therefore feel more comfortable borrowing and spending money. That shift of money could take us far, too. I myself have been feeling like the economy is swinging back from our dark days over the past years, and now I’ve got hope that 2013 could be a big turn-around year. Check out Chandra’s Bloomberg article if you’re looking for some good news, or just want to see how that whole money shift works:
“Americans are finding it easier to borrow from banks, supporting consumer spending and business investment and helping fuel employment just as U.S. government budget cuts start to take hold.
Data from the Federal Reserve show banks are more willing to lend and their customers are seeking more credit as both groups gain confidence in the economic outlook. That is one reason economists at UBS Securities LLC, who use measures of credit in their employment models, are forecasting payrolls will climb by an average of 200,000 a month in 2013, up from 181,000 last year.”
Click here to see how else rising credit could affect our U.S. economy.
If you don’t have time to read, I’ll give you the quick version: auto and home sales are on the rise, as more and more people feel comfortable taking out loans, meaning that both those markets are improving. A growing market means needing more employees to keep up with the demand, which equals more jobs. Another implication of all the borrowing is entrepreneurs testing their wings, taking out loans to open new businesses– another source of new jobs. Any way you spin it, it’s good news. Spread the good news!