The American debt crisis in 5 charts

[onebyone]

With mortgage debt creeping back up and student debt ballooning, American families are in the midst of a debt crisis.

While we needlessly fret about overconsumption and hyperconsumerism, we miss a bigger picture: rising housing, medical, and education costs.

Here are five charts that show the extent of the country’s debt problem.

To learn more about how we got here—and how we can get out—check out the United States of Debt, a Slate Academy.

1. Although household debt relative to GDP has declined since the recession, it remains higher than it was for almost all of postwar history.

Datasource: Federal Reserve Bank of St. LouisAverage household debt by debt type, among households owing any of the type.



2. Nonmortgage debt, which includes student loans, credit card debt, and auto loans, is creeping up. Meanwhile, mortgage debt is creeping back up, having fallen after the housing bubble popped.

Data source: Federal Reserve Bank of St. LouisTotal household debt over time.



3. Student loan debt now exceeds credit card debt, auto loans, and other nonmortgage debt.

Data source: Federal Reserve Bank of New YorkTotal household debt by type over time, excluding mortgage debt.



4. Household debt relative to GDP is greater in the U.S. than in Germany, France, Italy, and Spain.

Data source: Federal Reserve Bank of St. LouisHousehold debt relative to GDP.



5. The average household that has credit card debt owes $16,000. That number is $27,000 for auto loans, $48,000 for student loans, and $169,000 for mortgages.

Data source: NerdWalletAverage household debt by debt type, among households owing any of the type.
http://www.businessinsider.com/the-american-debt-crisis-in-5-charts-2016-5

 

[Nimitam]

You fail to mention that unlike other nations, US can just print as many dollars as they want and wash away all their debts.

 

[Hamartia Antidote]

It's incredibly easy to have high mortgage debt when large homes are popping up everywhere tempting you.

Don't let the "luxury" in the title fool you. They are a volume builder of "McMansions" (regular homes built to a larger size) On a side note count how many lightbulbs/lights you see in the above video and you can see how LED's will save a ton of power usage in a US home. I guarantee all those bulbs are at least 60W.

 

[Nimitam]

I am yet to find a single american who can tell us why the Federal Reserve is privately owned and highly secretive.

Why do they avoid this question. No one wants to talk about it. Its like a conspiracy of silence.

 

[jhungary]

I am yet to find a single american who can tell us why the Federal Reserve is privately owned and highly secretive.

Why do they avoid this question. No one wants to talk about it. Its like a conspiracy of silence.

...........US Federal Reserve System are a government department, it is under the Department of Treasury. All it's profit made during a fiscal year are required to transfer to US Treasury, minus administration fee.

The Federal Reserve only ever do one thing and that is to make quarterly interest rate. That process is held secretive WORLDWIDE because any public knowledge would be used as part of insider trading scheme, and seeing the USD is a worldwide reserve, what they do have to be highly secretive.

 

[waz]

It's incredibly easy to have high mortgage debt when large homes are popping up everywhere tempting you.

Don't let the "luxury" in the title fool you. They are a volume builder of "McMansions" (regular homes built to a larger size) On a side note count how many lightbulbs/lights you see in the above video and you can see how LED's will save a ton of power usage in a US home. I guarantee all those bulbs are at least 60W.

Nice home. What's the value?

 

[Hamartia Antidote]

Nice home. What's the value?

Depends upon where you are

I see $613,000 here http://www.newhomesource.com/homedetail/planid-1165838

$711,000 here http://newhomes.move.com/plan/1018099/tx/houston/katy/sandhaven-at-cinco-ranch-ironwood-estates


"Average" new home size is 2,720sq ft @ $351K. Average family income is $52K.

It's very tempting to go for something bigger.

 

[Sliver]

You fail to mention that unlike other nations, US can just print as many dollars as they want and wash away all their debts.

This is WRONG. any country that does this will be hit by hyper inflation. I request you to increase your knowledge on what is paper currency and how or why cannot be printed.

 

[21stCentury]

Americans are told to keep guns in their homes and stock up on food, they are already expecting a collapse unseen before in the history of the US. Anarchy is looming around the corner, or so many whites in US believe. And looking at social-economic conditions and the racial tensions that keeps brewing in the white-dominated US, we can see why Americans are worried.

I believe the US constitutions have not yet striped away the right to own firearms so I advise anyone living in the US to go out and purchase a few rifles and keep them inside your homes--so when worse comes to worse! The US military won't save you, they will be busy protecting their white house masters. Americans must fend for themselves.

 

[Hamartia Antidote]

Americans are told to keep guns in their homes and stock up on food, they are already expecting a collapse unseen before in the history of the US. Anarchy is looming around the corner, or so many whites in US believe. And looking at social-economic conditions and the racial tensions that keeps brewing in the white-dominated US, we can see why Americans are worried.

I believe the US constitutions have not yet striped away the right to own firearms so I advise anyone living in the US to go out and purchase a few rifles and keep them inside your homes--so when worse comes to worse! The US military won't save you, they will be busy protecting their white house masters. Americans must fend for themselves.

LOL! What are you talking about? Are you listening to some fringe https://en.wikipedia.org/wiki/Doomsday_Preppers or something? Most people laugh at the low IQ people who believe this stuff.

 

[Nimitam]

...........US Federal Reserve System are a government department, it is under the Department of Treasury. All it's profit made during a fiscal year are required to transfer to US Treasury, minus administration fee.

No they are not. US Federal Reserve is owned by Private Banks. Not the US government. This is a common misconception.

All profit made by the Federal reserve is turned over to the US govt. AFTER paying a fixed return of 6% to the share holders who own the Federal Reserve i.e. the Private Banks owned by Bunch of Private individuals.

The Federal Reserve only ever do one thing and that is to make quarterly interest rate. That process is held secretive WORLDWIDE because any public knowledge would be used as part of insider trading scheme, and seeing the USD is a worldwide reserve, what they do have to be highly secretive.

Wrong again. Federal Reserve Bank stock CANNOT BE SOLD OR TRADED so there is no question of insider trading.

They are secretive to keep the public at large ignorant. The same ignorance you now demonstrate.

 

[Hamartia Antidote]

Wrong again. Federal Reserve Bank stock CANNOT BE SOLD OR TRADED so there is no question of insider trading.

They are secretive to keep the public at large ignorant. The same ignorance you now demonstrate.

He doesn't mean Federal Reserve stock He means if they were to leak a rate increase somebody could make a killing in the stock market.

 

[Nimitam]

This is WRONG. any country that does this will be hit by hyper inflation. I request you to increase your knowledge on what is paper currency and how or why cannot be printed.

Inflation happens when you have to PURCHASE US Dollars. Not when you PRINT it.

Since ALL OIL globally HAVE to be purchased in USD, other nations have no choice but to continue to purchase USD. It might make the USD cheaper, but it will wipe out the US debt.

He doesn't mean Federal Reserve stock He means if they were to leak a rate increase somebody could make a killing in the stock market.

Then there is no need for secrecy. There can be complete transparency about Ownership. After all the same rules apply to all banking stocks.

I am surprised that you are against Transparency. Amazing.

 

[Sliver]

Inflation happens when you have to PURCHASE US Dollars. Not when you PRINT it.

Since ALL OIL globally HAVE to be purchased in USD, other nations have no choice but to continue to purchase USD. It might make the USD cheaper, but it will wipe out the US debt.

This is wrong fundamentally. You cannot print dollars (or any money) without diminishing its value. Your concept of money is wrong. If you want to understand it better, I will help you out (and I am not being disrespectful here.)

Oil is "predominantly" purchased in USD and is not the ONLY currency you can purchase oil in. In fact you can purchase OIL or ANYTHING in which ever way the seller agrees to sell it to you.

If US could wipe out its debt by printing money, the debt crisis would not be such a big political issue.

 

[Hamartia Antidote]

Then there is no need for secrecy. There can be complete transparency about Ownership. After all the same rules apply to all banking stocks.

What do you mean by transparency of ownership? It's like saying who owns the https://en.wikipedia.org/wiki/Group_of_Seven_(G7)

Here for example is the Federal Reserve Bank of Boston
https://en.wikipedia.org/wiki/Federal_Reserve_Bank_of_Boston

It is run by directors of different banks. Just think of it like the G7