Malcolm Edey
Malcolm Edey
adjustment continue growth household pattern reduce risk sector sharper skewed spending towards
A pattern of growth that was heavily skewed towards household spending was not going to be able to continue indefinitely, and the balance-sheet adjustment now occurring in the household sector should reduce the risk of a sharper adjustment later.
compared current mild note previous sector unusually
Having said that, however, I should note that the current downturn in this sector is an unusually mild one compared with previous cycles.
businesses change domestic drivers growth households main rather seeing
What we have been seeing is a change in the composition of growth, with businesses rather than households now the main drivers of growth in domestic spending.