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Home > Education Resources > wait-is-saving-good-or-bad-the-paradox-of-thrift

Economic Education

Wait, Is Saving Good or Bad? The Paradox of Thrift (Page One Economics Classroom Edition)

Jar of MoneyClassroom Edition (.pdf)

The average saving rate for the typical American household before the recession started in 2007 was 2.9 percent; since then it has risen to 5 percent. Uncertainty about the future was the primary driver for the increase. More saving is a good thing, right? Well, some economists argue it might be detrimental to the overall economy. Given the benefits to individuals, how could this be? The May 2012 issue explores this “paradox of thrift.”

See the Page One Economics Classroom Edition archive for more topics »

Keep your students in the know on timely economic issues with the Page One Economics Classroom Edition. The Page One Economics Classroom Edition provides a simple, short overview of a current economic event that offers students an opportunity to use close reading strategies. The Teacher’s Guide includes student questions and a teacher answer key, plus additional resources and lesson ideas for classroom, extra credit, or make-up assignments. You can subscribe via RSS feed or email.

 

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