Here is a very interesting chart via The Big Picture
(click to enlarge):
This chart shows the national savings rate over the past 100 years. Note that for the first time since the great depression, savings rates are negative. Put another way, we as a nation are consuming more than we are earning.
But another thing struck me. Look at WWII when savings spiked. Remember the "war effort", buying savings bonds, conserving for the boys? Seems to me that we are in another war right now, aren't we?
Of course a negative savings rate can't go on forever without some fairly drastic consequences. I wonder how long it will continue before we either get the picture or are forced
to get the picture?