4 ms·
Imagining zero growth (-2% or so with inflation) and long life spans, I think the numbers would look pretty bad for most people
by dharma1 7y ago
Imagining zero growth (-2% or so with inflation) and long life spans, I think the numbers would look pretty bad for most people
- asdfasgasdgasdg 7y agoZero real growth is 0%, not -2%. -2% would be contraction. Even still, yes, it's pretty bad. People would have to work longer. Assuming kids account for about 25% of consumption during child rearing years, and assuming 40 years of work and 30 years of retirement (i.e. you live to 90), you wouldn't quite have to save 50% of your net, but the fraction would be significant. Many Americans do not have the head room to make the type of sacrifice. But many do and choose not to.