Americans' Standard of Living has "permanently changed", “Damaged” by the Stimulus and the "Worst Is Yet to Come".
The American consumer is hurting in the face of a triple whammy:
a burst housing bubble,
financial market meltdown
But "the worst is yet to come," Some economists and financial experts believe American's standard of living is undergoing a "permanent change" - and not for the better as a result of:
· An $8 trillion negative wealth effect from declining home values.
· A $10 trillion negative wealth effect from weakened capital markets.
· A $14 trillion consumer debt load amid "exploding unemployment", leading to "exploding bankruptcies."
America, you do not have to be an economist or financial expert to come to this same conclusion. All you have to do is turn on the television or open the daily newspaper.