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To: Cogito Ergo Sum who wrote (6500)	8/2/2001 2:07:52 PM
From: GraceZ	Respond to of 74559

To make this inclusion valid the inheritance should be on the books before today as an asset and of course a decline in net worth still follows. In other words the collective net worth of parents and children has declined. Jay's comment implied that individual savings was too low. I countered that net worth was more important than what the gov counts as savings. He seems to think net worth is declining overall or individually, I'm not sure which, but I asked for some sort of stats on it. If the parents are dead and their assets are transferred to the children the children's net worth rises (hence their savings) but as you point out net worth doesn't rise on a macro-economic level. I was simply pointing out the problem with assuming that heavy individual debt levels and lack of savings are a widespread problem for the current generation because they are now being bailed out (one last time) by their parents. I can't tell you how many times I've sat down with my free spending credit loving friends who had little or no net worth and tried to get them to get their financial house in order. Meanwhile I was saving 20-25% of my income living below my means to save and invest. All of them just got an air drop of money and poof, gone are the credit card bills equaling half their yearly salary and they are now asking me where they should invest this windfall.