Very interesting statistic via Gary Peterson, Detroit Free Press reports that in 2002, more people filed for bankruptcy (1.5 m) than the number of people who graduated from college (1.2 m).
It’s not too surprising to me considering that our entire economy is built on debt. What holds up our economy? Debt. Both individual and corporate.
I find it funny that in the article, they say the answer is to teach our children about how to handle money. Alan Greespan has “emphasized numerous times the need for exposing children to financial basics.” How about let’s get rid of the Federal Reserve System, in which it’s fundamental purpose is to create debt? Every single dollar that enters our economy from the FED is based on debt. The entire manipulation of the interest rate is to promote debt. How about let’s also teach government about financial basics? That if you spend more than you get, that’s bad. Seems like that basic financial principle is lost to most of our government officials. How about let’s reform our bankruptcy laws so that it won’t be so easy to file for bankruptcy and with practically no repercussions. Children should not be the scapegoat for our bankruptcy problems. The ones who should be held responsible are the government, the FED, and millions of credit card laden consumers.