America's 'House of Credit Cards'

[marmar]

via Consortium News:



America's 'House of Credit Cards'

By TheRealNews.com
March 1, 2009


In the United States, unions have been in steep decline, helping to explain recent stagnation in wages, an over-reliance on credit, and today’s painful squeeze on the American middle class.

Economist Richard Wolff said the loss of middle-class status for so many led Americans to turn to credit as a way of maintaining an illusion that they still could afford to consume, and over time that produced a national economy built on “a house of credit cards.”

Watch: http://www.consortiumnews.com/2009/030109a.html#When:10:35AM


"We took on a level of debt that no working class in any country at any time in the history of this planet ever did before,” Wolff said. "The fundamental issue is that we've run out of ways to keep this going. The wages are not going up and the credit is now tapped out."


http://www.consortiumnews.com/2009/030109a.html#When:10:35AM

[Donnachaidh]

1. It's the modern form of indentured servitude -- consumers shackled to the company store

Yeah, that $250 ipod at 29% interest is really worth it huh? :sarcasm:

People need to realize the government will bail every company out and STILL won't do anything for the consumer who plays *keeping up with the Joneses* with plastic.

[w4rma]

2. That BS Bankruptcy 'Reform' bill doesn't help this situation. It should be undone. (nt)

[Donnachaidh]

3. yeah -- maybe we should go to Biden's Middle Class Aid page at WH.gov and ask him about it.

Wasn't that one of the bills he worked on? :evilgrin:

[Profprileasn]

4. Keeping up with the Jones'

We need to realize it doesn't matter what other people have or do. Sometimes it's those that don't seem to have much who have a bank account to surprise you. They don't care what anybody thinks.

[Fireweed247]

5. a lot of people are in debt just from trying to stay alive

It is time to demand real Universal Health CARE! Then we can talk about wasteful spending...