Looking at indebted Americans and negative net worth

One of the many analysis of wealth distribution is a study by the Congressional Research Service – An Analysis of the Distribution of Wealth Across Households, 1989-2010

Political calculations has a fairly representative wealth distribution curve for the United States based on 2010 data.

There are differences between the Federal Reserve and IRS and other sources as to how much net worth is needed to get to the top 1% of households. This varies from $1.5 million to $6 million.

Those with negative net worth (less than $0) is about the bottom 19% of households.

22% of students are unable to pay back student loans.

Some statistics on those with debt problems

46% of all Americans carry a credit card balance from month to month.

45 percent of all new car loans being made today are for more than 6 years.

45 percent of all auto loans are made to subprime borrowers

One study discovered that approximately 41 percent of all working age Americans either have medical bill problems or are currently paying off medical debt.

Approximately two-thirds of all college students graduate with student loan debt.

The average student loan debt load is now approximately $25,000.

Student debt, fewer jobs creates a new class of indentured young Americans

Student-loan debts now average about $25,000 per graduating senior. But the percentage of youths 16 to 24 who are working (about 49 percent) is the lowest since records have been kept. The cost of a four-year college education can range between $100,000 and $200,000 depending on whether the institution is public or private. Only 53 percent of today’s college students graduate within six years. Student time spent writing and reading in college has plummeted.

Annual tuition keeps rising, as it has over the last 50 years, usually at close to twice the rate of inflation. It must, if colleges are to pay for a vast new administrative class that is excused from teaching to monitor sensitivity and diversity, raise money, and comply with ever more race/class/gender federal mandates.

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