
Overconsumption is biggest threat to the American Dream - taylorbuley
http://www.marketwatch.com/story/overconsumption-is-biggest-threat-to-the-american-dream-2016-05-23?link=sfmw_tw
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emodendroket
It seems like there is very likely a relationship between the explosion of
consumer debt and stagnant or falling wages.

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labster
Ugh no. The main reason we have a problem with a lack of saving in the U.S. is
that we spend like our parents did but are paid less than they were. If the
wealth didn't always flow to the top, we'd be just fine. But sure, go ahead
and blame the poors for not saving enough money.

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antisthenes
I agree with you but I don't think the article blames the poors for anything.

In fact it's quite evident that under stagnant wages and a constant level of
consumption, the savings rate will fall. Of course someone could say it's
possible to reduce consumption, but the poor already spend most of their
incomes on bare necessities, so their consumption levels are likely to stay
constant, unless you want them to starve.

It's also the reason wealth in capitalism inevitably flows upward - since the
poor spend a larger share of their income on necessities (housing, food,
health care - the big 3, as I like to call them), their savings rate is
necessarily limited.

