Bookmark
E-mail to a friend
Printer friendly versionAre Americans being reduced to a nation of serfs indebted to creditors?
Today millions of Americans are being reduced to serfs, indentured not to a geographic area as in medieval times, but to their creditors. This is the message in a new documentary film titled In Debt We Trust: America Before The Bubble Bursts by director Danny Schechter.
The film explains how over the past 25 years the U.S. economy has been transformed from one based upon the production of goods and services to one where two-thirds of economic activity is fuelled by consumer spending. The existing strength of the U.S. economy is dependent upon excessive consumer spending and growing consumer debt. Unfortunately, given the huge amount of consumer debt and high credit card interest rates this situation is unsustainable.
The film describes how extending an ocean of credit to American consumers has lead to a culture of consumer entitlement and credit card dependency. Danny Schechter describes how the national savings rate in the U.S. has fallen to zero. The movie contains footage of credit card issuers aggressively marketing credit cards on college campuses.
The film shows how various members of the credit industry take advantage of some of the most vulnerable people in America. These businesses include payday loan and car title companies, rent-to-own retailers, income tax rebate firms and subprime mortgage lenders. The film describes a number of situations where consumers are legally being charged outrageous interest rates. In the film former Georgia Governor Roy Barnes talks about how millions of middle and working class Americans have lost the equity in their homes to the credit industry.
The film suggests that the real conflict in America today is not between the political left and right but between creditors and debtors. The film describes the massive lobbying clout of the credit industry in Congress evidenced by the recent changes to federal bankruptcy law which favors creditors at the expense of consumers. The film reveals that the credit industry’s influence is so pervasive that it obtained significant support from Democrats as well as Republican members of Congress for amendments to U.S. bankruptcy law.
In Debt We Trust: America Before The Bubble Bursts suggests that not only are millions of Americans being reduced to serfdom but also that the stability of the U.S. economy and even national security are being placed at risk.