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Exact(41)
Simply put, American households need to repair their balance-sheets by paying down debt.
The measure's sponsors said it would spur job growth by paying down $2.5 billion in debt to the federal government.
More significant, however, is that by paying down his mortgage, he got a tax-free return equivalent to the 5.5 percent interest rate on his mortgage.
It estimates productivity growth at 2.8percentt a year, by paying down the debt, investing in biomedical research and computer technology, and opening more markets abroad.
It will also help Cargill focus on core operations like grain purchasing and distribution and the making of food ingredients like dressings and sauces, as well as improve its credit rating by paying down debt.
Company bosses made their bondholders happy by paying down debt in the early 2000s; now they have switched to stroke-the-shareholder mode with big share buybacks and special dividends.
Similar(19)
During the past couple of years, the banks, Goldman included, have cut their leverage ratios sharply, partly by issuing more equity to shareholders, partly by selling assets and paying down debts.
In addition, the price of oil should eventually stabilize, and some "headwinds" that have been holding back the economy for the past few years, such as the imposition of tighter lending standards by banks, and efforts by households to pay down debts, should start to recede.
Meanwhile, households were trying (or being forced by creditors) to pay down debt, which meant depressed demand.
Debtors kept paying down their loans.The problem is that households will neuter monetary policy by working to pay down their unmanageable debts.
If a deal is reached, it would be an important milestone in the effort by British Telecommunications to pay down its mounting debt load.
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