I was looking at some numbers and saw that in USA in 2010 consumption was at 70% but savings were close to zero and that even places were there is high income savings are still low while the keynesian law says that when the salary rises savings also tend to rise, how come in USA even the people who have a high income tend to consume it all and not save ? Is there a main cause for this ?
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$\begingroup$ Could you provide the study you are referring t? Too thin a cushion: economist.com/blogs/freeexchange/2013/04/saving $\endgroup$– GioMay 25, 2015 at 20:04
1$\begingroup$ Please back up these claims with reliable sources. $\endgroup$– FooBarMay 26, 2015 at 14:22
$\begingroup$ @FooBar I asked my professor for the source of the data In his textbook and waiting for his answer $\endgroup$– Amr El AswarMay 26, 2015 at 14:29
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