Reason #48: The Sick Cycle of Consumerism

In a speech to college students, Barbara Bush recalled asking her son, President George W. Bush, “What we can do to show support for America?” in the wake of the terrorist attacks. “He said, ‘Mom, if you really want to help, buy, buy, buy.’”

Great advice. Loading up our shopping carts with Chinese-made crap we don’t even need- and spending money we don’t even have-that’ll save the country? Swiping your credit card is now patriotic? It would be funny if it weren’t so tragic. With mindless consumption fueling most of our economy, living within our means has become a negative thing.

From 1950 to 1992, Americans saved about nine percent of their incomes on average. In the 70s and 80s, that number was closer to 12 percent. But the government no longer wants us to be wise with our money. With so many good paying jobs now vanished, politicians know the only way to keep our consumer economy afloat is by encouraging us all to go into debt. And we’ve obliged them. In 2006, the national savings rate dipped below zero. That means most Americans spent more money than they had. The only other time in our history when that happened was from 1932 to 1933 - in the midst of the Great Depression.

We have to break this sick cycle. I wish I could go on television and tell our kids to resist the societal pressure that’s constantly pushing them to spend more than they have. So many young adults fork out for big-ticket stuff the minute they get a few dollars in their pocket. And credit card companies prey upon them with low teaser rates and worthless incentives, luring them to make even more big purchases using nothing but plastic at the checkout.

NEXT: Reason #49: Soaking the Poor