Median Net Worth $57K

[imoldernu]

Posted for just for the numbers, and general information. Not to make any particular point.

Median Net Worth In 2010 At Lowest Level Since 1969: Report

The first link in the article goes to the study, and a .pdf file that goes into more detail on subjects such as pensions, wages, home ownership, stock ownership etc.

The paper further discusses the effects on society as a whole, including stability and future well being.

 

[Lazarus]

It would be interesting to see a chart comparing the median and average net worth over time inflation adjusted.

 

[GrayHare]

Sounds like getting into that 1% group might be worth the effort. Where do I apply?

 

[imoldernu]

The .pdf file at the end of this link has the charts and detail that the author uses to support his study.

Paper: The Asset Price Meltdown and the Wealth of the Middle Class (2012 APPAM Fall Research Conference (November 8 - 10, 2012))

It's pretty long, but tries to bring together the different factors that are affecting everyone, with respect to the economy since 1962.

 

[brewer12345]

So what?

 

[imoldernu]

So what?
________

Guess you are right... It doesn't matter.

Moderator... ok to close this thread.

 

[Texas Proud]

Guess you are right... It doesn't matter.

Moderator... ok to close this thread.

Why Just because one person said 'so what?'


No reason to close it up unless people go off course....

 

[Free To Canoe]

I just finished looking at the paper and I found it interesting. It is well done. The data is broken out to many groups and in multiple ways.
The ratios for wealth and income white to black and hispanic changed little since 1982.
Personal debt (vs home debt) remained constant and actually lowered a bit in the last decade.

The data on home ownership made me ponder about some of my friends and acquaintances. I conclude that some people were never meant to own homes and if they do, it is a mistake that is self correcting with tragic financial consequences.

Thanks for posting imoldernu

 

[Lazarus]

The .pdf file at the end of this link has the charts and detail that the author uses to support his study.

Paper: The Asset Price Meltdown and the Wealth of the Middle Class (2012 APPAM Fall Research Conference (November 8 - 10, 2012))

It's pretty long, but tries to bring together the different factors that are affecting everyone, with respect to the economy since 1962.

I need a graph. I have a short attention span.

I did look over the PDF though.

Don't close the thread. If we can't discuss anything what's the point?

 

[Marita40]

I found it an interesting read. Thanks for posting it imolderu.

Why in the world would someone make such a rude remark as "so what"? Can't think of a better way to belittle the poster and shut down conversation. Sheesh.

 

[mathjak107]

What i want to know is where do they extract this info from. its not part of any census and i know of no one ever surveyed.

 

[REWahoo]

I used to be an admin a family travel type forum for ten years. I'm still friends with about 15 people from that forum on a private Facebook site. The forum went under due to fighting. It started out great, but a few bad ones came in and ruined it. It was addicting in the good years.

The mods have to have all the interpersonal skills required of a crack kindergaten teacher: "You kids behave or I'll send you to time out!"

 

[Lazarus]

As an example:

The mods have to have all the interpersonal skills required of a crack kindergaten teacher: "You kids behave or I'll send you to time out!"

I don't want the job!

 

[target2019]

imoldernu,
I think the number of statistics is overwhelming to some. People tend to dis-count the story once they know the genre.

The tone of the paper is wrong, I feel. In peer-reviewed research you wouldn't use a term like "pummeled," for instance.

I take the position that the gist of the article is correct. I believe so because I live in and near some of the richest towns in NJ. During the 25 years I've lived in these parts, the divergence of our classes has been steady throughout. SInce we are in the "top twenty" as defined in numerous tables in the study, we have not fared so badly. The fact that I earn essentially what I earned in 1990 pretty much describes the middle class squeeze. But we do ok by LBYM.

The really depressing facts in those tables are seen in the "bottom 40%" columns. I drive through some of the most depressed areas in Philadelphia a couple of times each month. There is no way out for people born into those environments which have been declining for more than 50 years.

 

[JPatrick]

imoldernu,

The really depressing facts in those tables are seen in the "bottom 40%" columns. I drive through some of the most depressed areas in Philadelphia a couple of times each month. There is no way out for people born into those environments which have been declining for more than 50 years.

I take issue with the "no way out" comment.
There is always a way out, provided you are willing to find the door, and you do not wait until age essentially seals your fate.
I'll grant you that most will not find the way, but that does not remove the possibility.

 

[brewer12345]

I take issue with the "no way out" comment.
There is always a way out, provided you are willing to find the door, and you do not wait until age essentially seals your fate.
I'll grant you that most will not find the way, but that does not remove the possibility.

Is it impossible? Clearly not. There are no legal barriers and there are always outlier-type people.

Statistically, there is no way out. How does the leg up get started in a depressed community these days? Mostly, it does not. I do not have a good solution or answer, but increasing income and wealth stratification as well as the "big sort" that has gone on (everyone has moved to enclaves where the locals look like you do) militate against mobility in US society.

 

[Original Wally]

From the great Rodney King: "Can we all get along together?"

 

[haha]

Guess you are right... It doesn't matter.

Moderator... ok to close this thread.

Well now that you have given your permission, I'm sure that they'll be right along to take care of it.

 

[Rambler]

I don't want the job!

But, but, I hear the pay is really, really good!

R

 

[obgyn65]

Thanks for posting. I found the article very interesting.

Posted for just for the numbers, and general information. Not to make any particular point.

Median Net Worth In 2010 At Lowest Level Since 1969: Report

 

[Dreamer]

Thanks for posting. I found the article very interesting.

+1

 

[donheff]

Here is the graph for those who need it:

 

[bondi688]

While politicians keep saying that the top 2% have to pay more in taxes just to be fair, it does not appear from this article, $200000/yr income for an individual or $250000 for a family cited by them are anywhere close the top 2 %. According to Table 4, a household income of $317200/yr in 2009 put one at the top 5%, and $164000/yr put one at the top 10%. The cut off figure for top 2% income earners has always been dubious.

 

[MichaelB]

The author of the study applies his own definition of wealth. For some parts of the analysis it does not include the either the equity value of the primary residence or the future value of social security.

The way it is presented makes it difficult to follow. Maybe someone here will give us a thorough review.

I also use a more restricted concept of wealth, which I call "non-home wealth." This is defined as net worth minus net equity in owner-occupied housing (the primary residence only). Non-home wealth is a more liquid concept than marketable wealth, since one's home is difficult to convert into cash in the short term. Moreover, primary homes also serve a consumption purpose besides acting as a store of value. Non-home wealth thus reflects the resources that may be immediately available for consumption expenditure or various forms of investments.

Also excluded is the value of future social security benefits the family may receive upon retirement (usually referred to as "social security wealth"), as well as the value of retirement benefits from private pension plans ("pension wealth"). Even though these funds are a source of future income to families, they are not in their direct control and cannot be marketed.

 

[nun]

The author of the study applies his own definition of wealth. For some parts of the analysis it does not include the either the equity value of the primary residence or the future value of social security.

The way it is presented makes it difficult to follow. Maybe someone here will give us a thorough review.

As long as the author is clear in the definitions I don't have a problem with that. One good thing about the financial crisis is that it highligthed systemic problems in the economy: income disparity, the cost of health care, education and the reduction in retirement benefits with the change over from non-contributory pension plans to 401ks have all contributed to the falling networth of the middle and working class. The paradox of individual thrift and consumer driven growth is also important.