A couple of recent studies highlight the (willful?) financial ignorance of the American public:

The audit confirmation service Confirmation.com polled college-educated investors about the Bernie Madoff fraud.  The findings are interesting:

  • 27% of respondents never heard of Bernie Madoff or are aware he perpetrated a stock market fraud
  • 50% of respondents between the ages of 18 and 29 could not identify the Madoff fraud
  • 33% of respondents between the ages of 30 and 44 could not identify the Madoff fraud
  • 33% of respondents between the ages of 45 and 60 could not identify the Madoff fraud
  • 20% of respondents over the age of 60 could not identify the Madoff fraud

In a somewhat related matter The Country Financial Security Index found that 25% of Americans are not saving for retirement:

  • 47% of those 40 and older admitted they did not start to save early enough
  • 55% of respondents said they either are not participating in a 401(k) or, get this, don’t know if they are participating in a 401(k)…yet surely they know about ‘important’ things like the differences between the iPhone 5s and 5c
  • 30% of respondents who are participating in a 401(k) don’t know how their contributions are invested

Where’s the outrage?  Shouldn’t the White House be promoting an agenda of making these people pay their ‘fair share’ into their own retirement savings or is it up to all the ‘greedy, unethical millionaires and billionaires’ (and remember, we’re not punishing success!) to pay for the retirement years of people who choose (conspicuous) consumption over retirement savings?