Americans Are More Indebted Than the U.S. Government

U.S. News and World Report reports:

While government debt sits at 94 percent of national revenue, U.S. household debt sits at a whopping 107 percent of personal income. The household balance sheets of Americans are in worse condition than anytime since the Great Depression. The ratio of household debt-to-GDP is greater than anytime since 1929. And while we all are trying to comprehend a poorer nation, many American's have not yet comprehended their own personal poverty.

A burger today? From the early 1940s through the late 1960s, an ethos of saving before spending ruled the roost. If you sought to buy a house, 20 percent was required for a down payment. Similarly, substantial savings were required to buy a car, and home furnishings, clothing, and more were paid for primarily with cash. By the 1970s, however, rampant inflation helped form a debt culture that found footing and gained steam.

Just another reason housing prices are going lower in many parts of the country.