Right, but the point is how many jobs does Amazon create delivering all those goods to you compared to say a Sears or Walmart?
The modern day middlemen are doing a better job with way less people. Hence the Retail Apocalypse...
The modern day middlemen are doing a better job with way less people. Hence the Retail Apocalypse...
In other words, they're saying the businesses aren't profitable enough to service debt loads that were thought to be sustainable debt loads a few years ago.
That still points to lower than expected retail profit. Interest rates have been unusually low for more than a decade, so it's not like a credit spike changed the assumptions.
Anyway, at best it contributes to a negative feedback loop.
No, the debt was never sustainable. Essentially the banks allowed loans which were gigantic ponzi schemes.
Retail: "Our growth will continue forever!"
Banks: Hmm, we got bit pretty hard on these home loans and need somewhere else to make money, "Forever growth is like infinite money, I like money!", "Here is 10 billion dollars, just remember to pay us back in 2017".