Photo: The Library of Congress
The crumbling U.S. economy is putting an extraordinary amount of financial stress on American families. For many Americans, “flat broke” has become a permanent condition. Today, over half of all American families live paycheck to paycheck. Unemployment is rampant and those that do actually have jobs are finding that their wages are rising much more slowly than prices are.
The financial condition of average American families continues to decline and this is showing up in all of the recent surveys. For example, according to a new Gallup poll, “lack of money/low wages” is the number one financial concern for American families.
To make ends meet, many American families are going into even more debt and more American families than ever are turning to government assistance. Right now, more Americans than at any other point since World War II are flat broke and have lost hope. Until this changes, the frustration level in this country is going to continue to grow.
Only the top 5 per cent of U.S. households have earned enough additional income to match the rise in housing costs since 1975
At this point, American families are approximately 7.7 trillion dollars poorer than they were back in early 2007
According to one study, approximately 21 per cent of all children in the United States were living below the poverty line in 2010
Today, there are more than 44 million Americans on food stamps, and nearly half of them are children
According to Newsweek, close to 20 per cent of all American men between the ages of 25 and 54 do not have a job at the moment
Well, the truth is that millions of them have been shipped overseas.
Our politicians promised us that merging our economy with the economies of other nations where it is legal to pay slave labour wages to workers would not create more unemployment inside America.
They were dead wrong.
Now we are being told that we just need to accept a lower standard of living.
For example, billionaire Howard Marks says that it is time for all of us to just accept that the standard of living of American workers is inevitably going to decline to the level of the rest of the world....
'In addition to balancing the budget and growing the economy, I think we have to accept that the coming decades are likely to see U.S. standards of living decline relative to the rest of the world. Unless our goods offer a better cost/benefit bargain, there's no reason why American workers should continue to enjoy the same lifestyle advantage over workers in other countries. I just don't expect to hear many politicians own up to this reality on the stump.'