American households have regained almost all of the wealth lost during the Great Recession, thanks to surging stock prices and recovering home values.
Total household net worth — assets minus liabilities — expanded 2.6%, or $1.9 trillion, in the third quarter from the second quarter, according to a Federal Reserve report released Monday.
It was the eighth straight quarter of increases and brought the net worth for households and nonprofit organizations to $77.26 trillion at the end of September. In nominal dollars, households already recouped their lost wealth a year ago. But adjusting for inflation, Americans' net worth is still about 0.5% shy of the peak in the third quarter of 2007, just before the recession hit.
The biggest contributor to the latest quarterly gain in wealth was the booming stock market: Household assets in the form of corporate equities and mutual funds jumped by $917 billion, the Fed said. The value of residential real estate owned by households also helped to push up net worth with an increase of about $428 billion.
The big wealth gain was largely enjoyed by wealthy Americans who hold the bulk of stocks. But close to two-thirds of U.S. households own homes, and should housing prices continue to rise, as expected, more Americans should benefit.
Wait, how is this possible? I mean after all President Obama is such a socialist, right?
File this under "More news the Right Wing will never report accurately."
Just saw on the news that President Obama is at his lowest approval numbers ever. People are disgusted he doesn't "do something." Ummmmmm.......do they understand how the three branches of government work?
ReplyDeleteNo, they don't.
DeleteI wish I'd get a call to rate him as I'm put him at the top. Suspect they only call Republicans!!!
DeleteHe has done so many good things and it's because of him we are not in another war! McCain, et al want another one so damn badly!!!
His numbers are actually balancing back out. 49 % approval or something like that - pre ACA roll out #'s. Now that the ACA is over the worst of the roll-out glitches and more and more people sign up and then it starts Jan 1, watch that approval rating head upwards!
DeleteIt started an increase in 09. We live in a cyclical world. Humans don't really control it.
ReplyDeleteAnd honestly, I, a middle class citizen, prospered under Bush admin. During about 7 years, I was able to stash away about 150k.And I built my home on 6 acres by a lake. I don't understand why people think those years were bad. Yes, we racked up war debt, but that has continued.
The plural of "anecdote" is not "data."
DeleteSarah,
DeleteShut the fuck up
That's just great. You dismiss the actual numbers and bring up your own circumstances. Why believe statistics when you can hold up your own experience? Sheesh.
DeleteImpeach Obama
ReplyDeleteStand your ground
Take back our country
Fuck you dumbass.
Delete5:56 "Take back your country" to what you idiot! Please explain in depth!
DeleteAnd, go ahead and try to impeach our wonderful POTUS. You would not succeed due to there being absolutely no reasons for doing so!
Read and research BEFORE your make your dumb statements!
That's right stand your ground and arrest all Grifters, Pimps, and Freeloading Palins.
DeleteEnjoy!
ReplyDeletehttp://ozmud.files.wordpress.com/2013/12/best-of-fb-01a.jpg
THAT is hilarious!
DeleteLove IT! My new wallpaper!
DeleteThe Republicans are back to being fat cats again and they need to wise up and say 'thank you', Mr. President.
ReplyDeleteOur POTUS is doing a splendid job in office in spite of the U.S. Congress and Republicans constantly trying to obstruct him. Thank God, he is our President!!
This LA Times story is true. When the September 2008 crash occured, I lost half my savings that I had invested. It's taken until this last quarter 2013 for my investments to return to the pre-2008 crash level.
ReplyDeleteThanks for nothing, Republicans, for deregulating Wall Street.
My son is blue collar and his wife is a teacher. They bought and paid off a new $300K house in the last 3.5 years. They didn't take out a conventional loan on their house but instead made a "family friendly loan" from an extended family member who rakes in a significant amount each year from Farm Subsidies although he's never farmed a day in his life. My kids say their 401K and stock investments are doing well. They HATE President Obama and love Ted Cruz, Paul Ryan, Rand Paul. My son was hoping that the debt ceiling wouldn't be raised, he said to default would be good for the country. When I point out to him how well he is doing since Obama took office, I hear in return "He's bankrupting the country with entitlements. Benghazi. Obamaphones. Food Stamps are nothing but a way to let people but drugs and alcohol. Sean said this ... or Dave Ramsey says that", etc., etc.
ReplyDeleteMeanwhile, in the real world...I lost my $16 per month in food stamps. (I did not buy drugs or alcohol with that $16 per month). I'm on Social Security so I'll get 1.5% increase in January for COLA. My electricity has doubled in the last year. Groceries have gone up about 5% in the last couple of months. My kids don't like it that I have a cell phone (NOT an Obamaphone) and I have an internet connection ... they say if people "can afford those things, then why should they pay for Food Stamps?" But it's okay for their relatives to get farm subsidies ........
The people who have profited the most over the last few years hate President Obama the most. They just don't understand what caused the recession or what would happen if the country did default. They don't understand what will happen if the Republicans keep the House and take over the Senate and WH.
Thank God President Obama is a our president. Thank God the Senate is controlled by Democrats.
Anon 7:16, I have a sibling who has been luxuriously pampered by our parents since birth--buying houses, cars, you name it. Said sib, a high-school grad and no more, knows only the labor of the delusion that s/he "did it all" by itself. When I saw Romney and Ryan among the Facebook "likes," I was nauseated but not surprised.
DeleteMrsTarquin, I know exactly what you mean. The above kids of mine were avid supporters of Romney but worst of all, my son, his wife and my daughter and her husband LOVE Sarah Palin. All 4 are college grads. In their case, I know they aren't stupid but I think they buy into the RW BS because of greed - it's convenient to them to pretend to themselves that they are standing on principle when in fact, they are selfish. Every RW that I know, thinks that they did it all by themselves.
DeleteI too have a tea bagger farming family who have benefited from the subsidies. They believe they are above reproach and fully expect subsidies to continue so they can maintain “their way of life.” They go on about buying gold to prepare for the coming unraveling and listen to Glenn Beck as they sit in their luxurious homes. I find this reprehensible and no longer am in contact. I didn’t want them to infect my children with their racism, homophobia or misogyny. The disconnect between their reality and other’s is simply sick. I am convinced the ag colleges they attended did not require enough in the way of humanities courses for them to claim they understand any part of the human condition. They simply learned how to line their pockets with the latest “efficiencies” in farming. When I hear people go off on how there aren’t enough voc-ed opportunities I cringe as these programs pretty much deny a human element or critical thinking skills in the curriculum.
DeleteEmily Post
KaJo: Agee - I'm back to where I was plus some! Thank you, President Obama and his well selected Administration!
ReplyDelete5 Reasons Why 2014 Will Be The Best Growth Year For The American Recovery
ReplyDeletehttp://www.businessinsider.com/5-reasons-for-stronger-economic-growth-in-2014-2013-12
Sorry, but no.
ReplyDeleteMy house is still not worth what it was. Probably because the foreclosures and short sales in the neighborhood have driven everyone's property values down.
And no I have not recovered my wealth. I could have contributed $60,000 toward my retirement in the last 6 years and that money is gone. I still have 2 furlough days and still have not received the raises that were due since 2010. My salary is still at 2008 levels.
So no, I have not recovered my wealth. Not even almost.
You must live in a very depressed area. I too have recovered and then some in the crappy 401k I had through my employer. Curiously, since 2008 my employer has not matched any contributions and since 2010, I haven’t added one single cent. I decided to put my monthly contribution elsewhere and left the money in the 401k to see what would happen.I just didn’t trust it, but now plan to pay off my kid’s student loan with it.
DeleteIt's not true for you. That doesn't mean it isn't true overall. And overall improvement helps everyone in the long run.
DeleteThis article completely ignores the huge increase in the cost of products and fuel which occurred because of the recession. Those costs are crippling middle income households.
ReplyDeleteI have no complaints. Most of my "peers" fell for buying MORE house because BORROWING MONEY was "Cheap". We stayed put, raised three kids in our modest home, lived within our means and saved money like there was no tomorrow.
ReplyDeleteThree Quarters of my "peers" who got sucked into the "McMansion" Frenzy don't ask me "When are you gonna take the plunge?" anymore. They spend their weekends cleaning their homes, dusting off the "for sale" signs and mowing their five acres of land on a riding mower.
I feel badly, but no one twisted their arms to make the choice. We still live in our first home, and it's paid for. Was I a "tad" jealous? Yeah, a little, but it passed quickly because I don't like seeing people suffer needlessly. We invested and always had a "cushion" in our budget, but STILL, the Bush years scared the living daylights out of me.
Now we have an empty nest and thinking of one day buying a small lot and having a small home (prefab) built for retirement.
Something I wouldn't have dreamed of if it wasn't for President Obama's efforts.
You think the people who lost their pensions and homes are getting their money back because the stock market is going up? Boy do I have a deal for you! Send cash!
ReplyDeleteThe 1%ers are taking the bulk of this recovery, not the average Joe on the street who's job went overseas. What do you think that guy has to invest in the market for Pete's sake? Get real!