I think he’s right on. He’s not bemoaning consumption, but consumption beyond your productivity (which will ultimately drive your salary) and the fundamental value of your assets.
I won’t paint the full story here, but I work at a Fortune 500 Tech Company in finance. I’m seeing a huge mind shift toward outsourcing, even for finance jobs that require a significant amount of judgment and expertise. They can hire in Mexico or India for half the salary and 3/4 the productivity.
This has been going on in IT for some time, but it is rapidly working it’s way up the food chain. I’m 31, and I expect my inflation adjusted income to roughly tread water over the next 10 years while I get promoted and take on additional responsibilities that would have doubled my inflation adjusted income if I’d started 20 years ago.
I’m better positioned than most, but the average American has absolutely no concept of how their lifestyle is going to change.
