Being an Registered Financial Consultant, I actually blame the life insurance industry for hurting the financial situation.
1. Only seven out of 100 agents celebrate their 4th anniversary. (Poor training, agent selection, and methods to find clients)
2. New life insurance agents immediately get variable licensed, so they can sell variable annuity and life products, and mutual funds. The companies put “Financial Representative on their business card.” I have 15 years of experience in wealth accumulation, college funding, and retirement savings. Possible clients are confused who is who. They buy investment products profitable to the company, but bad for a consumer.
3. Many wealthier people were solicited and sold equity indexed annuities, promised high returns based on previous stock market performance. Stocks took at dive and consumers lost up to 60% of their savings. The insurance companies and brokerage firms suffered little. Agents/brokers on selling a $500,000 annuity, could at that time make $50,000 on the sale. I sold fixed annuities, where the initial principal was guaranteed not to drop. In turn, the sale returned considerably less commission. So greedy, gullible customers and commission hungry sellers largely impacted Americans with savings plans. My clients remained financially sound.
4. College funding for student 529 plans still view 7% interest, and invest in risky funds. Few consumers are getting financially educated.

could answer most of your other questions too