Are We Worse Off Than Our Parents?

Is the middle class worse off today than their parents in the 1970s? According to this article on MSN.com, the answer is "yes".

The article sites a study entitles "Middle Class In Turmoil", preparted by the Center for American Progress and the Service Employees International Union. According to this study, Americans now are less prepared for an economic emergency, have seen their wages remain stagnant, must borrow more money to pay monthly bills and pay more for big ticket items. According to the study, things haven't been this bleak since Jimmy Carter was in the White House.

The key point to the story is that families should have some money socked away for medical emergencies...you know, the stuff that insurance won't cover, save three month's worth of expenses in an emergency fund and perhaps spend less on big ticket items, and purchase them less often. That's good advice not matter how the economy is doing, and I don't think it's as bad as this article makes it seem. I do believe we may be heading toward a recession. The price of oil continues to skyrocket and the dollar is taking a beating compared to other currencies. The latest advice I have read from financial analysts a lot smarter than me: invest in a company that earns its money in a currency other than dollars. That would mean investing in a foreign company, preferabely one that earns Euros or Yen.