Working families do not measure economic progress by how much more they spend. They measure it by what their paycheck makes possible: groceries without another sacrifice, a needed home repair, something left for their children’s future. Small business owners measure progress by whether they can pay employees, serve customers, and grow. Washington should apply that same test before deciding Americans can shoulder higher borrowing costs.
September’s retail and food services sales rose 0.8%, according to the Census Bureau. Continued spending is encouraging. But these figures are not adjusted for price changes. They cannot tell us, by themselves, whether Americans purchased more or paid more. A family spending more to maintain its standard of living is not necessarily moving ahead.
