The savings rate is a systemic problem and it won't be resolved by inviduals but by government supporing and implementing programs that encourage an average pay that allows for savings and the necessary incentives to save.<quoted text>
Oh brother, made plenty of them. Little ones and big ones.
The savings rate in this country has steadily declined over the last 40 years or so. Last couple years there's been an uptick in savings, but the trend is clearly down. A 40 years trend can't be blamed on any single President, recession, economic or salary situations. The reason is people are abdicating responsibility; in most cases to the Gov't. Why bother? The Gov't will pay SSI for me. Our society has a very myopic view.
Young people today need to figure it out and start savings for their own retirement -- period. No excuses, make it happen.
Last year pay at the top went up by over 5% while pay for the lower 80% went down by over 1%. The delta was over 7%. You can't allow year after year for any one class to continuously come out ahead on pay. The economy will not work that way. If the bottom always came out on top, soon everyone would be making good money and no one would want the headache of being in charge.
If the top always comes out ahead (percentage wise) then soon there is no money to pay the bottom a living wage. Gee, don't we have 47% or close to it now accepting aid from the government?