Wednesday, February 01, 2006

US Savings Rate at Lowest Level Since 1933

America is headed toward another Great Depression. A depression that will dwarf anything that Americans experienced in 1929. An article was recently placed on yahoo news about Americans saving on average the lowest amount since 1933, when the great depression was in full throttle.

The article went on to say that as of the end of 2005, Americans fell into a -0.5 percent savings rate. This means that most people here in the US are spending all of their income after taxes. This is a dangerous trend since at least 78 million Americans are baby boomers getting ready to retire.

The fact that most Americans are not saving can only mean one thing. It means that many people are either living paycheck to paycheck, swamped with bills and monthly debt payments, or simply living below the poverty line. It is already a fact that the average American owes eight thousand dollars in debt.

The country as a whole owes trillions, and the Chinese banks ran an article last month saying that they may soon have to begin dumping the dollar. Yet the average American is clueless. They spend all of their money, buying gadgets and cars that have no value after they've been purchase.

They run up huge debts, while more and more big corporations lay off workers and send jobs to India and China. Add to this the problem of both legal and illegal immigration, in which many illegals aren't paying taxes and are working under the table, leaving natural born American citizens huge tax payments to make.

The problems that the US is facing will only continue to get worse. As more and more illegal immigrants pour into the US, big companies will rush to hire them for low wages and no health insurance benefits, saving themselves millions of dollars while costing Americans jobs and making illegals perpetually slaves.

The illegal immigrants, while making more money in the US than they would at home, will begin taking on huge amounts of debts to pay for homes, cars, and other goods which they will not be able to afford on their low wages. Because of this big corporations will maximize profits, and the middle class will effectively be destroyed.


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