The accelerating race to a student debt implosion: Federal student loans rose by $266 billion since 2011. 85 percent of consumer debt growth since 2011 because of student debt.
The Federal Reserve released an interesting report on consumer credit this week. While the mainstream spin is that it is good that consumer loans are growing, the vast majority of the growth is coming from the student debt portion. The student debt problems are starting to become dramatic given rising default rates combined with sub-par […]
Failure to launch into household formation: Record 36 percent of young Americans (18 to 31) living at home with parents. Where is household formation coming from?
The notion that the housing market is surging because of young Americans buying up homes to form households is simply incorrect. The housing market is rising like an artificial phoenix built on Wall Street’s insatiable appetite to leverage easy money from the Fed and investors. If we look at data regarding young household formation we […]
Line up and prepare for the next bailout in student debt: Student loan debt crosses the $1.2 trillion mark. $248,000 for an undergraduate degree?
The nation is fully engulfed in a student debt bubble. The problems with student debt are numerous yet this unrelenting bubble is allowed to grow like weeds in a garden. Going back to 2000 total student debt outstanding rested around $200 billion. Today it is over $1.2 trillion. Keep in mind that during this time […]
The American dream myth: Income mobility; 4 out of 5 Americans struggle with poverty, joblessness, or go on welfare at some point during their lives; and bottom 80 percent of Americans control 7 percent of total wealth.
There is an odd sort of Greek-like mythology that the American dream is only getting stronger when various pieces of economic data clearly show that this is not the case. The middle class has noticeably shrunk over the past few decades. Income inequality is at levels last seen during the wildly opulent Gilded Age. We […]