tag:blogger.com,1999:blog-4393954656451523275.post3664061695714057929..comments2023-09-21T09:10:10.615-05:00Comments on Meandering Thoughts: Financial CrisisAnonymoushttp://www.blogger.com/profile/07978105056937168759noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-4393954656451523275.post-61433310656526105992008-09-24T16:36:00.000-05:002008-09-24T16:36:00.000-05:00We had a presentation lately from our 401(k) provi...We had a presentation lately from our 401(k) provider because of the latest market fluctuations. He told us that the rate of savings by Americans went from an all-time high of 25% in 1970 to -1.8% in 2007. That means that bottom line, people are spending more than they bring in. <BR/><BR/>The problem with that (outside of the eventual problem that you at some point have to pay those bills) is that our economy is driven by consumer spending. So all incentives are to spend spend spend, thus the upside down savings rate. Yet how do you encourage people to save without negatively impacting the economy?<BR/><BR/>You don't. Time for a "correction."JennyFhttps://www.blogger.com/profile/11723809166619576787noreply@blogger.com