The total net worth among Americans has risen to $53 trillion, the highest this measure has been since the end of 2007. At that point, Americans were worth $65 trillion. The increase this past quarter of $2 trillion was the first increase in this measure since 2007.
I am taking this as a good sign for the economy. In addition to this increase, overall personal debt is not increasing. Even though some markets are still slow and unemployment is still high, when consumers start feeling better about the economy, these should improve. I’m still waiting for interest rates for savings accounts to start climbing again more than just a few hundredths of a percentage point like Ally Bank.
On the other hand, the stock market has been the primary driver behind the increase in net worth, and it’s quite possible that stocks have recovered too much too quickly. If the current recession is over, another might be around the corner. The stock market helped my net worth increase, in addition to income, over the past few years, but this might just be the result a temporary rally.
Has your net worth been increasing over the last few months, and if so, how are you increasing it?
Updated June 16, 2011 and originally published September 21, 2009. If you enjoyed this article, subscribe to the RSS feed or receive daily emails. Follow @ConsumerismComm on Twitter and visit our Facebook page for more updates.