Wealth of most Americans down 55% since recession

Wealth of most Americans down 55% since recession

badabing badaboom !!

This is according to the Federal Reserve Bank of St. Louis in a report.

The Fed said a few months ago that most Americans had regained 91% of their losses from the recession.

Well which is it ?

How about YOU and YOU and YOU ?

more in the story...............

(MoneyWatch) Increasing housing prices and the stock market''s posting all-time highs haven't helped the plight most Americans. The average U.S. household has recovered only 45 percent of the wealth they lost during the recession, according to a report released yesterday from the Federal Reserve Bank of St. Louis.

This finding is a very different picture than one painted in a report earlier this year by the Fed that calculated Americans as a whole had regained 91 percent of their losses. The writers of the report released yesterday point out that the earlier number is based on aggregate household-net-worth data. However, this isn't adjusted for inflation, population growth or the nature of the wealth. Further, they say much of recovery in net worth is because of the stock market, which means most of the improvement has been a boon only to wealthy families.

source

They always manipulate numbers to make it sound good.

reply to post by xuenchen


I'm sure that there will be defenders here in a minute...or two.

Myself? I am doing ok for now, but I can see having to tighten up the ol financial belt a notch or two in the near future if things don't change for the better.

I CAN read between the lines on all those MSM financial reports when it concerns me anyways. As a country? I think the U.S. is going to be screwed over again for another decade.

Doin' better, but it's no thanks to our govt. It's called putting one's head down, and getting everything payed off, cancelling all my credit cards once they're paid off (that was a good day!!). Just my car left.

First time I've ever had it called wealth, though... Didn't think it quite qualified.

reply to post by xuenchen


And others manipulate things to make things look bad.

don't forget to allow for the devaluation of those remaining dollars
what, 7 percents times ( since 2007 ) - something like a 35% loss (plus) from the 55 % amount stated in the OP

doesn't leave much does it?

Wealth of most Americans down 55% since recession

I prefer another word over 'wealth'. I like 'ability'.

The ability of Americans to sustain their level of existence in an economy purposely crippled, should have been foreseen.

The US industrial plant that supplied jobs for the great middle class and revenue from both those who worked the jobs and those industries, has been lost. It all went elsewhere... mostly to China.

The outcome is that the loss of revenue has left the nation broke and the loss of the middle class has left a huge (and growing) gap between those with lots of money and those with barely enough to survive working at jobs flipping burgers or running cash registers.

Both major American political parties were a part of this globalization agenda meant to strip the ability away from Americans and transfer it to other nations. Both parties will not even discuss this subject publicly. Both parties support the globalization agenda to this day,

Gripe a you wish but until those responsible are held to account... griping is about all we have left.

Good catch and thanks for the heads up. I could be doing better in my own life, but to look around, that almost sounds a bit full of myself too. I have a home, a family, my vehicles and a very successful academic path that will run at least a few more years for me. So, I could be doing much worse, too.

Hopefully, things either start the slooow turn back to better times ...or we just crash hard and get this done with. The sooner we make the lawn dart, the sooner we can dig out and get to rebuilding at this point. I hate to look at it that way, but hope in motion..right? Rebuilding from ashes beats living in a slow cooking fire.

Everything will be just fine so we shouldn't worry our pretty little peon heads about it.

reply to post by xuenchen


Thought I would add my own little bit of.........DOOM.


In the next two years a reckon the lowest wage earners 12 dollars an hour and under will be lost to inflationary effects. This means they will not be able to afford food and housing anymore. It is already rearing it ugly head with fast food workers and Wally world workers demanding fair pay.



This will only grow as the I believe 10% inflation rate keeps stealing our hard earned dollars day by day and month by month. This will be epic and no amount of bail out money can fix it. This is already a done deal and nothing can stop it. What will happen when 50% or more of the population can not feed themselves.......EPIC.

reply to post by xuenchen


This isn't really telling us anything we did not know already. But that is ok it gives you enough time to grab your ankles for round two which is coming soon. Oddly enough I have managed to get back to just about where I was before the meltdown with a plan to get further ahead sometime next year should conditions cooperate with me.

I've increased my credit rating, increased my savings, and improved my families quality of living since. Then again I work for the govment.

Being in the class of the 'lower' wage earners, I've turned by back towards living beyond my means. Maxing credit to live for the now instead of saving for the later always seemed as a silly way to live.

I'm for housing and vehicle credit use, but buying other crap on credit is very dumb. Credit isn't and never was free money, it was responsible money.

I'd imagine those Americans that dropped in wealth are those who live everyday chasing a white rabbit. They are the ones in debt because they didn't plan. They are the ones who felt they needed a new vehicle or two each third year. They are the ones who got and maxed out their credit cards, usually on materialistic crap that really doesn't keep them alive.

I hope those who are effected by the recession get back on top of their game. I'm sure next time they don't overspend. Just because you can afford that 1600 a month mortgage doesn't mean you have to meet it - should always live below your ability so you can prepare for rough times ahead.

Both major American political parties were a part of this globalization agenda meant to strip the ability away from Americans

Yes and they did it long before Obama was ever though of- too bad the OP ignored reality in his thinly disguised attack on our President.

And by the way, the economy's pretty good here in Washington state, I don't see any reason for all the negativity.

reply to post by CB328


I'm curious, though you don't have to tell me, which part of Washington state you live in? My part, southeastern, not so much... I've never seen so many people on govt. assistance than I have over the past couple of years...

Though I have to say, it's not getting worse, it's just not getting better...

Originally posted by xuenchen

This is according to the Federal Reserve Bank of St. Louis in a report.

The Fed said a few months ago that most Americans had regained 91% of their losses from the recession.

Well which is it ?

Both...they explain it here...It's another way of saying the Rich got Richer and the poor got poorer.

Stock wealth is unevenly held, with the vast majority of stocks owned by a relatively small number of wealthy families. Thus, most families have recovered much less than the average amount.

www.stlouisfed.org...

Otherwise "in total" Americans recovered 91% of the wealth they lost...but the lions share went to a small amount of Americans. The "average" American has only recovered 45% of thier previous money.

Originally posted by SubTruth
reply to post by xuenchen

 

Thought I would add my own little bit of.........DOOM.


In the next two years a reckon the lowest wage earners 12 dollars an hour and under will be lost to inflationary effects. This means they will not be able to afford food and housing anymore. It is already rearing it ugly head with fast food workers and Wally world workers demanding fair pay.



This will only grow as the I believe 10% inflation rate keeps stealing our hard earned dollars day by day and month by month. This will be epic and no amount of bail out money can fix it. This is already a done deal and nothing can stop it. What will happen when 50% or more of the population can not feed themselves.......EPIC.

You can't afford housing in the northeast on your own if you are making 12 an hr. The time that you are talking about has already come.

And while Americans bleed, congress has seen their wealth shoot up.

There's a reason why they want your guns people

With the equivalent of the population of Spain on food stamps and over 10 million people on disability I don't see how anyone can say we are even close to a recovery. For anyone who owns or owned a home those for the majority of the country that value is still way down.

Too many people are unable to climb the ladder in the US. For whatever reason, they fail in college and they fail in life. So they're stuck with competing with low-skill workers in developing countries. And we all know how well that has been for them. Low-skill workers in the US can't compete with those in developing countries. Their expectations are too high and the laws enacted in this country too tight. This country has every reason to blame them too. They're incompetent.

So a large population of poor part-time workers means welfare. Lots of it. Or dead people.

Is there a solution? Maybe. But it requires adjustments. Some standards will lower. Some standards will go up. The world has to find a balance so everyone is working. New businesses have to start up. Rich people have to spend their money - alongside those who save a lot. Some laws have to be removed. Some added. The world has always struggled to find this desirable give/take.

Originally posted by CB328

Both major American political parties were a part of this globalization agenda meant to strip the ability away from Americans

Yes and they did it long before Obama was ever though of- too bad the OP ignored reality in his thinly disguised attack on our President.

And by the way, the economy's pretty good here in Washington state, I don't see any reason for all the negativity.

The source article doesn't even mention Obama.

Neither does the OP.

You my friend, are Obsessed with Obama.

What DOES Obama have to do with this anyway ?

Unless all His promises of prosperity count ?

reply to post by jonnywhite


Sir, after GA did its immigration thing a couple of years ago, GA found out that a certain population isn't wanting to work for middle pay. Farms needed manual labor at that time, mostly under the table pay, that could only be filled by Migrant and Immigrant workers. Those able body people stated the work was to hard... The Migrant & Immigrant workers stepped up and worked their butts off.

When I state middle pay, it was the equivalent to 20bucks an hour before taxes...usually no tax was reported and left up to the individual.

I know the US isn't GA, but I'd imagine the rest of the states had a similar problem. That problem is that people, able body people, want an easy handout. We don't have a work issue, but a lazy group of people who think they are beyond needed manual labor issue.

Look at the job boards under farm help - you'll see that they still need workers. Seasonal work, but the rated pay is usually the least you'll make.

My main rant on this is - people need to get off their behinds and support your family. Stop blaming the administration on your failures. If you want 'equal' pay, relocate to a socialist/communist country.

My disclaimer I still collect a govt paycheck. To hold onto that paycheck, I've had the govt in my business 24/7. Overdraft from a bank and I'm in trouble. Drink more than 3 alcohol drinks a day and I'm in trouble. My family gets arrested or detained, I'm in trouble. Get a speeding ticket, have to explain to my command on why. Drink a nyquill Zzzz dose with a bud light....still a grey area :-)

My main reply thingie is this - those who want to work will - those who want handouts don't. If you are the one holding out for a management position needs to rent Lampoon's vacation movie.

Edit I'm agreeing with you JW. Just piggybacking on the comments in my own crazy way.

My household is very comfortable, and our wealth has gone up. But to be honest it could have gone up a lot more. The biggest drain to the economy and savings right now are those blasted interest rates. I mean come on, I can remember getting ten percent at one time. Lets do a little comparison. Take say, $100,000. and hold onto it for a year. At the ten percent rate, you would get $10,000 in just one year. But now, you are lucky to get 1% or $1,000. No one wants to listen to me when I say that the interest rates set by the government are ruining any hopes of people saving a decent amount of money.

Now before anyone gets started on the loan interest rates... After say five or ten years of saving with a decent interest rate you won't need much of a loan to buy a house. Plus folks with less cash that have no hope of buying a house can still earn decent interest to help supplement their incomes just by stashing a bit away every month. Lost interest is lost income!

Why is everyone blind to the fact that low interest rates are what ruined our economy!