FED Says Household Networth In USA Down 40%
Here we go again, again, again…
Every wake up one morning and have your entire inventory suddenly worth 40% less?
American families’ median net worth “fell dramatically” between 2007 and 2010, plummeting nearly 40 percent to levels last seen in the early 1990s, according to the Federal Reserve.
Median net worth dropped from $126,400 in 2007 to $77,300 in 2010. Overall, median net worth fell 38.8 percent and the mean fell 14.7 percent.
The Fed pointed out that between 2007 and 2010, median net worth “fell dramatically for families living in all regions of the country, but especially for those living in the West — a 55.3 percent decline. This pattern reflects the effect of the collapse of housing values in several parts of the West region. Median wealth in every other region fell 28.2 percent or more.”The drop in net worth largely stemmed from the housing crisis, the Fed said in its Survey of Consumer Finances: “Although declines in the values of financial assets or business were important factors for some families, the decreases in median net worth appear to have been driven most strongly by a broad collapse in house prices.”
Meanwhile, the median income for all American families fell 7.7 percent.
Such is the news at Politico, however, we probably have heard it on the radio and on TV today. But where we’re really feeling it is in our day to day lives, since 2008.
Hopefully someone will care enough to run for President with a vision to lead us out of this mess and not stuff the pockets of rich friends just a little bit more.