BIS Review 28/2008  1  States, however, a rise in oil prices driven by stronger real Chinese activity would not necessarily lead U.S. export volumes to rise substantially, given the low propensity of China to import from the United States.
Some indebted households appear to be taking advantage of low interest rates to pay down their debts faster than has been the norm, perhaps in response to weaker prospects for income growth. Those relying on interest receipts may feel compelled to constrain their consumption in response to the relatively long period of very low interest rates.