It is imperative that we start to save instead of consume. Americans have over $14 trillion worth personal debt. We must not pass these costs to our next generations. Back in the mid 1960’s we were a nation that was in the black that in last few decades declined seriously into the red. 80 percent of our debt has occurred since 1990.
The Chinese now finance our war. Today Our American economy is 70 percent dependent on consumerism reflected by our $17 trillion dollar personal debt. A new documentary, “I.O.U.S.A.” presents why our debt is of serious concern. 66 percent of the gross national product stands at more than $9.6 trillion or 37 percent of GDP. David Walker, former U.S. comptroller general has been outspoken regarding the potential disaster of our total $53 trillion dollar total unfunded liabilities such as Medicaid, Social Security and Medicare. This equates to roughly $175,154 per man, woman and child.
To put this in perspective the debt in 1957 was $693 billion - or about $4,000 per capita. Today’s debt is 76 times higher from over 50 years ago. The economy is 2-3 times more debt-dependent - with at least $29 Trillion DEBT EXCESS - - compared to the 1950-1970s.
Americans must begin to save a few percentage of their income similar to New Zealand and Australia. It is imperative that both taxpayers and the U.S. government awaken to this crisis and prevent the peril of our debt. As Ben Franklin once said, “I am not so concerned on the return on investment as the return of my investment.”