The Green Sheet Online Edition

March 10, 2008 • Issue 08:03:01

ISOMetrics

Recessing, depressing economy

The downward slope of the U.S. economy has adversely impacted a number of industries. And consumers trying to stay afloat are using their credit cards for everyday necessities such as food and gas rather than luxury items. Here's a look at how the numbers are shaping up (down) and how various markets are affected.

• Men lead unemployment at 4.4%, followed by women at 4.2%.
  

  ^{Bureau of Labor Statistics}

• Between March 2006 and September 2007, the share of credit card debt charged off by lenders rose from 3% to 4%, a growth rate of 34.2% in less than two years.
  

  ^{Center for American Progress' House of Cards report}

• The number of houses facing foreclosures in January 2008 rose 57% from January 2007.
  

  ^{Realty Trac}

• Consumer prices in January 2008 rose 4.3% over a year earlier. Prices rose 3.7% overall in 2007.
  

  ^{U.S. Federal Reserve}

• In November 2007, real credit card debt. stood at $790.2 billion, the highest amount ever recorded.
  

  ^{Center for American Progress' House of Cards report}

• Analysts are projecting between 100 and 200 bank failures within the next 12 to 24 months.
  

  ^{Stanford Group}

• Estimated U.S. economic growth in 2008 is between 1.3% and 3%, down half a percentage point from an October 2007 forecast.
  

  ^{The Federal Reserve}

• 52.9% of senior loan officers reported tightening lending standards on prime mortgages from October 2007 to December 2007, compared to 14.3% in July 2007.
  

  ^{U.S. Federal Reserve}

• Roughly 35% of credit cardholders pay late or extended limit fees.
  

  ^{U.S. Government Accountability Office}

• 35 million credit cardholders can only afford to make minimum payments on their outstanding balances every month.
  

  ^{U.S. Federal Reserve}

• The Consumer Price Index for all food is expected to increase 3% to 4% in 2008.
  

  ^{United States Department of Agriculture}

• In 2007, credit issuers increased solicitations to subprime customers by 41%.
  

  ^{Mintel Group}

• Spending by individuals rose 0.4% in January 2008, but that was due primarily to inflation. In constant dollars, spending remained the same.
  

  ^{The Commerce Department}

• Personal income increased 0.3% in January 2008, after economists projected a 0.2% increase.
  

  ^{The Commerce Department}

• Cities in California, Ohio and Florida account for more than two-thirds of the top 25 metropolitan foreclosure rates.
  

  ^{Realty Trac}

• By February 2008, 61.2% of taxpayers had already filed their returns.
  

  ^{National Retail Federation}

  

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