2008 is an election year, and it also triggers a very significant change in our demographics: the first of 77 million retiring Baby Boomers becomes eligible for Social Security benefits, which will create one of the greatest economic challenges of the 21st century.

Everyone today is chafing under the increased costs of fuel for their cars (and air travel). Many are jumping to the conclusion that this is all due to “manipulation” by the energy barons and profiteers, etc. Strangely, the current focus on oil can cause us to miss the more salient issues that we all are victims of. There are far more serious concerns facing us than simply our miles per gallon!

The traditional American Dream, especially for those of us who grew up in families that survived the depression of the 1930s, was to have a home “free and clear” of any mortgages. The security of a debt-free home was the goal of every family in the 20th-century United States. However, we are now in the next century and the horizon is changing in many ways.

Last month we reviewed the increasingly difficult predicament we face in attempting to position ourselves-and our families-in this volatile world. In addition to the terrorist threats and other geopolitical tensions, the mismanagement of our own national financial scene appears increasingly problematic.

Events over the past few years have caused many informed observers to be concerned over the increased precariousness of our strategic horizon. In addition to natural disasters-such as Hurricane Katrina-and the continuing terrorist threats promising a major sequel to “9/11,” and the probability of rogue nuclear attacks of various kinds, anyone who is relying on smooth waters over the next 12-18 months is simply among the ranks of the under-informed.