Borrowing

The dollar is up. Great news, right? Maybe not if you’re an emerging economy.

I am 32 years old and would consider myself financially illiterate! I briefly held a credit card, but after a series of rather poor decisions at the age of 20, I got spooked by the idea of credit altogether. When I last checked my score several years ago, it was not surprisingly in the toilet. In deciding to try and repair my finances, I checked my score today and found that it was (surprise!) 775! So after years of neglect, illiteracy and general incompetence, how do I maintain this incredible turn? Desperately in need of some sound, simple advice! Ryan, Cincinnati, OH

The personal savings rate seems to have moved up to the 4 percent to 5 percent range, despite savers making 0.1 percent to 0.2 percent on their money. We're back to the range that held for much of the 1990s. Considering how harsh the last couple of years have been on so many people -- from young adults seeking their first full-time job to retirees watching their pension values slide -- it's doubtful that the savings habit will erode. Memories aren't that short.

There is an important personal finance lesson in Apple's enormous cash hoard: Savings is an anchor that allows for experimentation, risk-taking and innovation in both companies and at home.

The Federal Reserve's policy of low interest rates allows the government to borrow money at little cost. But analysts predict it's just a matter of time before interest rates shoot back up.

Marketplace's economics editor Chris Farrell says government needs to push sound saving, rather than sound borrowing.

Marketplace economics editor Chris Farrell says it's all very well telling us to save, but where are we supposed to put our money?