Households
in sentence
1591 examples of Households in a sentence
The tax legislation that Republicans have rushed through Congress could prove especially dangerous, given that millions of middle-class and low-income
households
will not only get little out of it, but will actually pay more when income-tax cuts are phased out over time.
Between now and the midterms, they can brag about cutting taxes on most
households.
This will hit
households
in Democratic-leaning states such as New York, New Jersey, and California much harder than
households
in Republican-leaning states.
Specifically, McKinsey finds that, from 2005 to 2014, real (inflation-adjusted) incomes remained flat or fell in 65-70% of
households
comprising 540 million people across 25 advanced economies.
By comparison, from 1993 to 2005, advanced-economy real incomes remained flat or fell in less than 2% of
households.
But even with those measures, up to a quarter of
households
in some countries experienced stagnant or lower disposable incomes between 2005 and 2014.
Over the last 12 years, her Worker’s Party (PT) has delivered the country’s strongest per capita GDP growth in more than three decades; reduced income inequality with an extensive system of social transfers that reaches one-third of Brazilian households; and reduced formal unemployment to a record-low 4.5%.
The effect of that on households’ budgets and companies’ costs is hardly cause for celebration.
On the contrary, its recovery coincided with the easing of the extreme austerity imposed in 2011-13, which has encouraged
households
to spend more, despite stagnant wages.
This difference can be explained largely by the fact that 59% of
households
in Italy own homes, compared to only 26% in Germany.
Complicating wealth measurements further is the fact that, as Martin Feldstein recently pointed out, for the vast majority of households, a large proportion of wealth is in the form of unaccounted future social benefits.
Understandably, companies and
households
are becoming even more cautious – inevitably making a difficult job for policymakers that much harder.
In the meantime, companies and
households
lucky enough to be in a position to build precautionary cushions will inevitably continue to do so.
Because
households
can resort to safe-deposit boxes, it’s hard for banks to charge depositors for safekeeping their funds.
An astonishing 65-70% of households’ incomes stagnated or declined between 2005 and 2014.
That figure is even more remarkable when compared to the 12 years leading up to 2005, when less than 2% of households’ incomes were flat or declining.
Households
have slashed their debt – often through painful foreclosures and bankruptcies – and their debt relative to income has sunk to its 2005 level, significantly below its 2008 peak.
For example, per capita health-care spending in Sweden, Denmark, and Finland exceeds $3,000, compared to only $2,300 in Italy, where
households
must contribute roughly 20% of total health-care spending.
Numerous studies show that government spending “multipliers,” even when large at the ZLB, shrink rapidly, then turn negative – and may even be negative during economic expansions and when
households
expect higher taxes beyond the ZLB period.
When those price bubbles burst,
households
lost substantial wealth and financial markets became dysfunctional.
Although consumer spending has increased during the past four quarters, helped by substantial government transfer payments, the pace of spending growth by
households
was less than the overall pace of GDP growth, because
households
were increasing their rate of saving.
The rapid rise in house prices until 2006 caused
households
to increase their spending, financed in part by converting home equity into cash.
Credit growth has already fallen close to zero in many countries and is contracting in many others as debts levels are reduced for
households
and companies.
But artificially suppressing prices usually requires rationing to domestic
households.
Already, the economics of Argentina’s dash for gas has resulted in massive transfers from households, businesses, and the state to fossil-fuel corporations.
Add to that a sharply depreciating peso (down by more than 50% against the US dollar this year), and the increase in gas prices faced by
households
and businesses, on average, amounts to 1,300% over the last 24 months.
Unsurprisingly, many companies and
households
can no longer afford their energy bills.
While
households
and businesses suffer, oil and gas companies continue to profit.
The only alternative is to shift quickly to Plan B – an orderly restructuring and reduction of the debts of these countries’ governments, households, and banks.
The dividends promised by a “green” MFF (which recently received the support of the European Parliament) are at least threefold: a higher share of jobs in one of the world’s fastest-growing economic sectors; lower energy bills for
households
throughout Europe; and help in achieving the reductions in greenhouse-gas emissions to which all EU states have agreed as part of their “Europe 2020” commitments.
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