From Economic Collapse blog,
If you go back 40 years ago, total debt in America was sitting at about 2.2 trillion dollars. Somehow over the past four decades we have allowed the total amount of debt in the United States to get approximately 27 times larger.
This is utter insanity, and anyone that thinks this is sustainable is
completely deluded. We are living in the greatest debt bubble of all
time, and there is no way that this is going to end well.
Notice the little blips where debt declined slightly in 2009. This small amount of debt reduction nearly crashed the US and World economy!
Here's the scary charts from our Federal Reserve:
Consumer debt has increased again with the advent of sub-prime auto loans (since there are no credit-worthy consumers left) and student loans. Notice that it actually started down after the 2008 crisis, but our central bank and government couldn't allow that to continue! No!