"All I know for certain is that people will be a bit more prudent over the next decade or two."
That line is from another poster. I don't buy it one bit. Here's these lazy Americans dealing with 10's of thousands of dollars and watch it going down and down. Hey, putz, you can sell it you know! Americans more time on planning their vacations than they do learning about the stock market.
A bit more prudent? I don't think so.
Oh, they'll become more prudent -- if for no other reason than their creditors and hungry mouths will force them to prudence. Some will learn sooner than others -- just like there are "high" and "low" bottom alcoholics.
By the time most learn their lessons, the lessons of course will be absolete, and it will be time to buy, borrow and expand. ;)