The BEA released the December 2008 statistics for personal income and outlays (consumer spending).
Personal income decreased $25.3 billion, or 0.2 percent, and disposable personal income (DPI)decreased $25.1 billion, or 0.2 percent, in December, according to the Bureau of Economic Analysis.
Personal consumption expenditures (PCE) decreased $102.4 billion, or 1.0 percent. In November, personal income decreased $44.0 billion, or 0.4 percent, DPI decreased $33.9 billion, or 0.3 percent, and PCE decreased $77.8 billion, or 0.8 percent, based on revised estimates.
So, people are earning less, spending less.
The few left with jobs are saving more.
BLS is reporting more union membership.