We are in severe danger. I would never say we weren't. Its just a different danger from greece, and honestly a lot less acute. We are probably beyond fixing it but what happens is going to look very different to greece.
Agree, we actually are the worlds 2nd or 3rd leading exporter. We have actual meaningful economic growth, but we have long term liabilities and a declining workforce. We currently have around 16% underemployment and most of 3.9 million new jobs created since 2009 being part time. Moreover, 3.5 million of those jobs went to workers 55-69 years of age. Additionally, ages 25-54 loss 880,000 net jobs since '09. The rest of the jobs < 5 million went to 16-24 year olds.
The Boomers have on average of 50k of debt per person on average so they are reluctant to leave the labor force. They sold the Millennials on the idea that education would give them an edge in the workforce. Millennials are the most educated generation to ever live, over 40% of college grads hold a job that doesn't require a degree. Plus, on average they owe 27k on student loans and over 10k in credit card bills per student. With all these factors combined in the next 18 months the student loan crisis will surpass the peak of the "housing bubble" (1.3 trillion). There are no houses, land or buildings or meaningful assets with this crisis, only an individual with no job (or low paying) and a mountain of debt.
Maybe the worst part of all this chaos coming is that Millennials have to face 1) Higher Taxes 2) Less spending on infrastructure and lower social spending 3) Lower growth for the foreseeable future. Moreover, they know the tab will be passed down to their generation and the Millennials face certain downward mobility. Meaning, a culture of increased renters and adults living with parents. The dream of owning a home is becoming just that, a dream.
I can go into the social consequences of all this but Im depressed thinking about the future. One last tidbit, Obamacare only increases part time labor and gives corporations even more reason to cut pay and decrease benefits. It's the nail in the coffin for "Generation Screwed"!!!
This post was edited on 12/6 at 1:50 pm