Wednesday, October 28, 2015

Are Americans Financially Irresponsible?

This is an interesting article, and I'm still going through all the comments.  A snippet:
Two recent surveys, along with numerous other studies and data, reveal most American households to be living on the brink of catastrophe, but continuing to act in a reckless and delusionary manner. There have certainly been economic factors beyond the control of average Americans that have resulted in real median household incomes remaining stagnant for the last 36 years. The unholy alliance of mega-corporations, Wall Street and bought off corrupt politicians have gutted the nation of millions of good paying jobs under the guise of globalization, while utilizing debt, derivatives and financial schemes to enrich themselves. The malfeasance of the sociopathic privileged class does not discharge the personal responsibility of citizens for living within their means. A lack of discipline, inability to delay gratification, failure to understand basic mathematical concepts, materialistic envy, absence of critical thinking skills, and a delusionary view of the world have left the majority of Americans broke and in debt.
The data that captured my attention was how little the average American household has in savings. Roughly 62% of Americans have less than $1,000 in savings and 21% don’t even have a savings account, according to a new survey of more than 5,000 adults conducted this month by Google Consumer Survey for personal finance website This dreadful data is reinforced by a similar survey of 1,000 adults carried out earlier this year by personal finance site, which also found that 62% of Americans have no emergency savings for a medical crisis, car repair, or unanticipated household expenditure.


H/T: Zero Hedge


  1. One thing that may not be taken into account here: the large percentage of Americans who are receiving gov't assistance can't keep money in the bank, because to qualify for the handout they have to declare their assets, including savings accounts. I would guess that some of them have a stash somewhere. The chances of them admitting that to a consumer survey are between "slim" and "no chance at all".

  2. Perhaps the new norm is to invest in your home/land by paying it off early, and paying off credit cards and student loans, rather than sticking money in a savings account that pays a 0.25% return. I don't know. It seems reasonable.

    1. Exactly. Pay down debt. Own real property outright.

  3. However, I think many boomers have a "fuck it" mindset, after seeing so much of their earned wealth siphoned off by their govt and given to people who sit on their derrier.

    This boomer attitude may get a rude awakening when they retire and try to exist on $1200/month social security, and still have to pay for medicare plus and a chunk of their prescriptions. Financial FAIL.