Wednesday, September 14, 2011

Are American people getting poorer?

Median US household income decreased for the third consecutive year and when adjusted for the inflation commensurate with the 1996 level.Inflation adjusted median income for the year 2010 was $ 49,445 which happens to be around 7% lower than the peak value of 1999, just prior to the dotcom bubble burst.
 
15% of people are living below poverty line, which is the income lower than the $ 22,314 for a family of 4, which means one US citizen out of 6 remains below the poverty line.
On the other hand net per capita net worth for the year 2010 increased by 15 % than the year 2007 level on account of shares, retirement accounts and other benefits.
American citizens ended up investing the most of their saving in owning a home which diminished in the value. US economy is not picking up despite near-zero interest rates and US fed reserve has no option left but to print the money by continuous bouts of quantitative easing.
Ailing US economy, and as a result of this unemployment in USA is increasing and raising the poverty level.

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