Should you encounter your future self anytime soon, the Treasury Secretary believes you may have trouble recognizing yourself. The American of the future will be a more financially disciplined individual. Gone are the days of spending money you don't have. Forget about leveraging yourself to "afford" a lifestyle of luxury. Things are going to be different here and the world is simply going to have to deal with it.
"Everyone is going to have to come to terms with the fact that we are going to save more in the United States," Geithner said in an interview with German weekly Die Zeit
So that it's it then. We are suddenly going to flip the switch that has been set on 'spend' for a generation to 'save'. Seems a bit ambitious but if TG believes that we can turn last year's economic lemon into lemonade by changing the way we think about money and making sure there is more coming in than going out in the future, maybe it's worth giving it a try. Show us the way Timmy. Show us how actions speak louder than words and how the government will provide a good example for all Americans to follow.
"If you look at past crises, politicians mostly made the mistake of tightening the purse strings too early," he said.
Geithner says Americans will have to save more [Reuters]