I am reading an interesting report from ORCC on Payment Delinquencies...

I am reading an interesting report from ORCC on Payment Delinquencies Spanning All Industries from December 2007. Here are a couple of charts: BEA 4th Quarter GDP 1st Estimate 0.7% Q&A: Why Did GDPNow Rise After Durable Goods? When are Construction Revisions Coming? Households across the country are finding it harder to meet financial obligations now than they did just twelve months ago. Of the households surveyed, 43 percent report that it is harder for them to meet their financial obligations, including bills, loans, mortgage and debt, than it was 12 months ago. More than half of households chose multiple reasons why they are finding it harder to meet their financial obligations. The most popular reason—and the only one cited by more than half of respondents—is increased energy costs. As further evidence that troubles are not limited just to the mortgage industry, only 19 percent of households report that their mortgage is a reason why it is harder for them to meet financial obligations. Two separate online surveys were conducted to understand consumer and biller collections. The consumer household survey was conducted in conjunction with MarketTools, Inc. Survey responses were collected from October 5, 2007 until October 25, 2007. Survey respondents were recruited and invited to participate by MarketTools, Inc. Survey invitations were sent via email with a link to a website containing the survey questions. To encourage participation, MarketTools, Inc. offered respondents 50 bonus points they could redeem for prizes. Responses were received from a nationally representative sample of 1,006 online households. Note that the survey was taken in October. A quick glance at the above chart shows huge gasoline price dips in previous years but not 2007. In addition, some 30% of the population does not own a home so mortgage related problems do not apply. one might have expected to see that reason on the list except perhaps it is typically only paid twice a year for some and lumped in with mortgage payments for others. And what about food prices? The content on this site is provided as general information only and should not be taken as investment advice. All site content, including advertisements, shall not be construed as a recommendation to buy or sell any security or financial instrument, or to participate in any particular trading or investment strategy. The ideas expressed on this site are solely the opinions of the author(s) and do not necessarily represent the opinions of sponsors or firms affiliated with the author(s). The author may or may not have a position in any company or advertiser referenced above. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.