Under Biden, Bankruptcies Are Rising For The First Time In Over 13 Years. Here’s Why

[mystery-ak]

Under Biden, Bankruptcies Are Rising For The First Time In Over 13 Years. Here’s Why


Will Kessler
Contributor
September 29, 2023 7:47 AM ET

Bankruptcies are rising for the first time in years as more Americans feel the pressure of declining economic conditions without the reprieve of President Joe Biden’s COVID-19 pandemic-era aid programs.

Americans filed more than 39,000 personal bankruptcy cases in August 2023, up 18% year-over-year, with bankruptcies beginning to spike after reaching record lows in 2021 and 2022, with the number of filings rising for all chapters for the first time year-over-year since 2010, according to data from the U.S. Courts. The number of bankruptcies is rising as Americans are increasingly burdened by high interest rates and falling real wages, while the COVID-19 pandemic stimulus and programs that were buoying Americans with debt begin to lose effect, according to experts who spoke to the Daily Caller News Foundation.

“[Americans’] own income is streamed (A) through the reduction of real wages after the pandemic and (B) through inflation,” Jai Kedia, a research fellow in the Center for Monetary and Financial Alternatives at the Cato Institute, told the DCNF. “On top of that, the cost of their debt itself is increasing and increasing quite rapidly and substantially, which is making the debt even harder to pay back.”

more
https://dailycaller.com/2023/09/29/biden-bankruptices-inflation-pandemic/

[Kamaji]

Well yes, that will happen when inflation erodes the value of one's income, and drives up the interest rates on one's debts.

[LMAO]

Well yes, that will happen when inflation erodes the value of one's income, and drives up the interest rates on one's debts.

I would also add the dependency to some degree that the Covid payments encouraged.

[Free Vulcan]

Almost $100/barrel oil will do that.