Personal savings rates are on the rise. At 6.9% they’re the highest in 15 years — and far above the negative rates of only a few months ago. It may be good for people’s pocketboooks, but can the economy rebound if we keep saving instead of spending? Some economists say saving could be bad for the economy overall, though it might seem like a good idea for individual and household budgets.
While Portland didn’t make the Forbes list of America’s thriftiest cities, at least one regional bank says they’ve seen an uptick in savings that lines up with national statistics. People have approached saving money differently depending on their generation, and it remains to be seen how the current recession will affect the nest eggs of the future.
Are you saving or spending your pennies these days? Have you changed your behavior since the economy took a turn for the worse? If you are saving your money, how are you doing it?
- Kate Lopresti: Technical writer for a software company
- Mark Thoma: Associate professor of economics at University of Oregon
- Loren Skogland: Co-owner and chef at Milo’s City Café who is highlighted in an Umpqua Bank marketing campaign as a “savings hero”
- Terry Donahe: Certified Financial Planner and principal at Cascade Wealth Management