"Well by this measure of savings, the answer is yes. But there are a couple of issues here," explains Dr. Walden, a professor of agricultural and resource economics. "One is that the measure of savings ... which is a common one, doesn't include some ... very common types of savings -- for example, savings that people put into their retirement plans, investment gains or savings that you get by having your assets, like your house, appreciate.

"So an alternative measure which actually is put out by the Federal Reserve, looks at savings in terms of net worth of households: the value of household assets your investments minus your debts or liabilities," he adds. "By this measure, net worth for the average household is actually at an all time high.

"So this is a case, unfortunately, where you have a couple of different definitions of an economic concept -– savings -– and you are going to have to pick which one makes most sense to you."