Economic recovery for average Americans still nothing more than Hope and no Change
One of the most important things to remember when differentiating between economics and finance is that one is a social science while the other is a mathematical one.¬† And because of this, many times professionals and academics confuse the two when speaking about an economy as a whole.
In fact the financial world, as well as the economic, are both full of opposing dichotomies.¬† For example earlier this week the October Consumer Confidence Survey came out and showed Americans had the highest confidence in the economy since the height of the Dot Com bubble back in 2000.¬† Yet a new report out from CareerBuilder shows that nearly 80% of all Americans live paycheck to paycheck, and have digressed financially since the 2008 Crisis.
Are you living paycheck to paycheck?¬† Is so, you are just like most other hard working Americans.¬† As you will see below,¬†78 percent¬†of full-time workers in the United States say that they are living paycheck to paycheck.¬† That is the highest figure ever recorded, and it is yet more evidence that the middle class is under¬†an increasing amount of stress.¬† The cost of living is rising at a much faster pace than our paychecks are, and more families are falling out of the middle class with each passing month.¬† Unfortunately, this is something that the mainstream media really doesn‚Äôt want to talk about these days.¬† Instead, they just keep having us focus on the soaring financial markets which are being grossly artificially inflated by global central banks.
Seventy-eight percent of full-time workers said they live paycheck to paycheck, up from 75 percent last year, according to a¬†recent report from CareerBuilder.
Overall, 71 percent of all U.S. workers said they‚Äôre now in debt, up from 68 percent a year ago, CareerBuilder said.
While 46 percent said their debt is manageable, 56 percent said they were in over their heads. About 56 percent also save $100 or less each month, according to CareerBuilder.
The first thing that we want to note about this survey is that it only includes full-time workers.¬† So the unemployed, part-time workers, those that work for themselves and those that are independently wealthy were not included.
The second thing that we want to note is that these numbers¬†have gotten worse since last year. –¬†Economic Collapse Blog
Ironically there has only been one segment of the economy that has flourished over the past nine years, and that is the 1% who have had access to the trillions of dollars in cheap money made available for investing and speculation by the Federal Reserve.¬† However for the rest of the 99%, they have seen their standard of living decrease due to price inflation and stagnant wages, as well as from the limitations on good paying jobs coming from employers cashing in on higher stock values.
Consumer confidence is an economic indicator because it denotes emotion in society and is not based on any mathematical equation.¬† But when it comes to an individual’s income, this is 100% finance, and thus one must always separate the two because in the end, emotional hope won’t pay for groceries or skyrocketing healthcare.
Kenneth Schortgen Jr¬†is¬†a writer for¬†The Daily Economist,¬†Secretsofthefed.com,¬†Roguemoney.net, and¬†Viral Liberty, and hosts¬†the popular¬†youtube podcast¬†on Mondays, Wednesdays and Fridays.¬†Ken can also¬†be heard Wednesday afternoons giving an weekly economic report on the¬†Angel Clark radio show.