How come so many Americans...?

Question

...are in financial crises?

Answer 1

They can't live with in their means.

Answer 2

/ While most Americans are not in financial crisis, the focus on the housing market makes it seem like the majority are.

Americans are the major contributors to world charity organizations, and have held that position as the number one country of charity givers for several decades.

The housing market recently put new American homebuyers in trouble because home prices were high (Seller's Market), and financial lending institutions (Subprime Mortgage Lenders) made it easy to purchase a home. Now the times have changed - Home prices came down, and interest rates are up, and those who got caught without planning for their future are in financial trouble.

Most Americans bought their homes before the housing market went up, and their homes have increase in value almost 500% in most areas. These Americans have quite a nestegg from simply riding the wave.

The focus is on the poor (American poor - which is rich compared with most of the world countries), and those who are in financial crisis with their homes, and may loose it.

America could be like other countries, and just say, "tough luck, and too bad!" but we are focusing on helping our own who are in financial trouble so they can keep their homes. That brings attention to the problem.

Answer 3

Its your culture..

Americans are by nature, very outgoing and adventurous, as well as being quite active..
You'd rather spend today and have fun and memories and pay later in installments, rather than not doing anything at all!

Europeans are more stingier.. They'd do a Cost benefit analysis and see whether its worth it and that too at the lowest possible cost..

Plus there is the added issue of American Utility (Economic theory).. You have so many goods and services in your market, and temptious ad's, that sometime the urge of buying is more than the actual need..

Plus, your Tax system, where you have to "Work for the government" from Jan-May" and your health insurance issues, and astronomical costs also contribute..

Answer 4

Where are you getting your information? There are more Americans enjoying financial stability and success than there are Americans in financial crisis. Try to control your envy and jealousy. If you don't, you may find yourself in an emotional crisis.

Answer 5

One thing I think about is the cost of living going up 8% and you only getting a 3% raise. You fall behind.

Answer 6

Nasty gas prices, financial/loan sector collaps, spiraling home prices, bearish stock market, massive trade deficits and inflation are all conspiring to recreate the great depression of 1929.

Answer 7

We live in a VERY materialistic society, that does not have a grip on reality. For the most part, Americans worry about what they "look like" to others, than worry about things like family unity, being proud of their culture, and education (like other parts of the world). Most Americans are greedy and try to compensate because they are self-conscience and too self-involved. Be happy all of us are not like that!!!

Answer 8

Simple, many of them live BEYOND their financial means, and dig themselves into a financial hole so deep, it will take an excavation crew to dig them out and bring them to ground level.

Answer 9

Everyone wants instant gratification; no one believes in saving and waiting to buy until they can actually afford to buy.

Thank Madison Avenue for this.

Answer 10

gas prices, real estate, credit cards, overspending, inflation...those pretty sums up the problems of most countries, not only America.

Answer 11

I can't blame it on the credit card because I can't afford one! It's the cost of living. If you want to call this living!