Posted by Susan Duclos | All News Pipeline
Jan 13, 2016
Photo: Getty Images
Many still think that if they are not investors or they do not play the market, a crash won’t affect them… they are wrong. Just remember 2008, when millions of Americans lost their jobs when businesses that employed them either closed or were forced to lay off employees, those living paycheck to paycheck could no longer afford their rent, utilities, food, etc…
Recent surveys show that approximately 62 percent of Americans have less than $1,000 in their savings accounts and 21 percent don’t even have a savings account. This quote from Market Watch should make it crystal clear what happens to the average American during a collapse.
“Faced with an emergency, they say they would raise the money by reducing spending elsewhere (26%), borrowing from family and/or friends (16%) or using credit cards (12%). And among those who had savings prior to 2008, 57% said they’d used some or all of their savings in the Great Recession, according to a U.S. Federal Reserve survey of over 4,000 adults released last year.”