Bullard Says Downturn Hardest on Young, Less-Educated Families
This article is for subscribers only.
Federal Reserve Bank of St. Louis President James Bullard said U.S. households with the lowest net worth at the start of the 2007-2009 recession suffered the biggest financial setback from the downturn in percentage terms.
“While many Americans lost wealth during the Great Recession, younger, less-educated and non-white families lost the greatest percentage of their wealth,” Bullard said in a statement in the St. Louis Fed’s annual report released today. “Household deleveraging, or paying down debt, has played a key role in the recent recession and the slow recovery.”