Higher Debt In America
According to an article published today in the Wall Street Journal, American senior’s have begun assuming more debt; a 120% increase in people 65 years old and older from 2000 to 2011. This new statistic has raised concerns for the financial health of Americans in this age group, especially those who lack savings and investments to retire comfortably. The recent monetary policy of the FED has keep borrowing rates lower which may explain this new increase in debt. People between the ages of 55 and 64 have seen an increase in debt as well; a 70% increase. Younger people have also been effected, attributing to the 37% overall debt in American households.
The recent economic growth in America is evident with the stronger dollar, lower rates and now more debt. The FED has been watching the rate of inflation closely, adjusting their monetary policy accordingly although there is no cause for worry… yet.
Source: The Wall Street Journal