Credit did't create wealth; Let's try again?

http://www.nytimes.com/2012/06/12/business/economy/family-net-worth-drops-to-level-of-early-90s-fed-says.html --------------------- This would be funny if it were not sad.. Fed is lowering the rates of return people earn on savings and encouraging us through low rates to borrow, in the hope of increasing asset prices. Didn't work then, won't work now.. ---------------------- The recent financial... [more]

http://www.nytimes.com/2012/06/12/business/economy/family-net-worth-drops-to-level-of-early-90s-fed-says.html --------------------- This would be funny if it were not sad.. Fed is lowering the rates of return people earn on savings and encouraging us through low rates to borrow, in the hope of increasing asset prices. Didn't work then, won't work now.. ---------------------- The recent financial crisis left the median American family in 2010 with no more wealth than they had in the early 1990s, erasing almost two decades of accumulated prosperity, the Federal Reserve said Monday. The new data come from the Fed’s much-anticipated release Monday of its triennial Survey of Consumer Finance, one of the broadest and deepest sources of information about the financial health of American families Despite these setbacks, consumers have continued to spend surprising amounts of money in recent years, helping to keep the economy growing at a modest pace. The survey underscores where the money is coming from: Americans are saving less for future needs and making little progress in repaying debts. [less]