Atrios at Eschaton: A Consequence of Recession

A Consequence of Recession

One inevitable consequence of recession, especially one which accompanied an interest rate spike which made meeting mortgage payments difficult (either because you're unemployed or because you took Uncle Alan's advice and got an ARM), would be that large numbers of people would dip into their 401(K) plans. They'd pay their taxes, pay the 10% penalty, and drain the accounts.