Chew on this

Have you noticed a proliferation of chewing gum choices? It’s not your imagination. Danish chewing gum manufacturer Gumlink says the market is experiencing growth like never before. Sugar-free chewing gum sales, which constitutes 80% of the market, are currently growing at 15% per year. This exceptional growth can be put down to, among other things, the extremely high level of innovation within the chewing gum category—perhaps something Warren Buffett had in mind when he backed Mars Inc.’s $22.6-billion takeover of Wrigley in 2008.

Five alternative indicators

Everyone is familiar with the major stock markets, but there are many other indicators worth watching if you want to keep tabs on the economy.

Subprime lending is back

After shrinking to nearly zero in the first quarter of 2008, the market share of subprime lending has returned to pre-crisis levels, according to a November report from the Federal Reserve Bank of San Francisco. The difference this time around? About 95% of new residential mortgage lending is now owned or guaranteed by the government via Fannie Mae, Freddie Mac, and Ginnie Mae. The same month, a report from First American CoreLogic claimed that 23% of U.S. homeowners owed more on their mortgages than their homes are worth.