Wednesday, April 09, 2008

Say Hello to the Middle-Class Collapse

No, really. It's coming.

Elizabeth Warren says so.

Hyperlink to the video:

YouTube: Elizabeth Warren Video

Set aside some time for this video lecture; it's almost an hour long.

FWIW, I haven't yet had time to watch much of the video, so I can't offer an opinion on it. Just figured I'd post it for those of you who are, like me, sick enough to be interested in such things.

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— Posted by Michael @ 10:40 AM




That was a good lecture. I was amazed of the real graphs where people actually spend less on consumer goods, and it's all the hard fixed assets.

I would opt for banks to tighten the requirements of buying too much mortgage, I know a lot of people that are "house poor" too much house and can't afford much else.


Good lecture and great first start at identifying the problem. Now, Elizabeth needs to dissect the fixed expenses to understand why they have increased over the years.
You don't have to be an expert to know that too many people are buying houses they can't afford. This fixed expense chews up more income than any other single expense. As a result, itís my opinion this is the biggest reason two income families are going broke.
I have 2 kids and worked in the semiconductor industry for 7 years. During 2000-2005, this was perhaps the most volatile industry in the US. As a result, we lived within our means and made sure one income could cover the mortgage and additional expenses in the event of a job loss. Yes, we lived in a small house than most, but we didn't lose our home either. Many middle class families could choose to live in a smaller home, but donít make that choice.

Anonymous Anonymous
, at 9:30 PM, April 16, 2008  

This is a most informative video. Ms. Warren is an gifted speaker with much important data for all. You don't want to miss this!

Anonymous Anonymous
, at 12:39 AM, April 14, 2009  
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