The media tends to overexagerate things and find the worst case scenarios. Anybody making 100k a month and not saving at least 10 of it is an idiot and deserves what he got. I have learned, like many others that things donât always get better, sometimes they get worse, a lot worse. The rich who have seen their lifesyles downgraded and portfolios lose 40% are stilling doing a lot better than the guy making $8 an hour who got his hours cut or maybe laid off. I donât save $1000 a month anymore not because I donât want to, itâs because I'm not making the money I used to. This is exactly the point Iâve been trying to make and people donât want totalk about it. When the Man created the Federal Reserve, this was the means by which their wealth would continually increase while the workers wages are continuously stagnant. I think you might be confused as to which ânecessitiesâ people are borrowing to pay for. When my health insurance goes up $40 a month and I donât get a raise to pay for it, I have 3 options. 1) Work more hours to pay for it or attempt to get a higher paying job through increased skills. 2) Borrow money to pay for it, or 3) Cancel the policy and go without health insurance. All these options benefit the rich at the expense of the poor/middle class. Do this year after year and you wake up and itâs 2008 and the economy is crumbling. BTW I donât have cable, itâs a waste of money. $36 a month for Blockbuster and I get all the free rentals I want. I have already addressed this in the below post. The âzero skilled jobâ argument is just crap that people came up with to justify low wages. 50 years ago the creed was, âwork and you deserve to eat.â Now it has turned into, âyou donât deserve to eat because weâve deemed your job requires no skill.â Still, nobody has been able to explain why pizza delivery used to pay so much and now it doesnât. In another 5 years, those skilled jobs will be asking the same question. Why am I not making what I used to? I heard they are going to insource doctors from China and India now. I also saw how a routine doctors visit can now be done at Wal-Mart with a technician with a video camera. The doctor is somewhere else and looks at a screen and diagnosis it from there. Soon theyâll be outsourcing doctorâs visits. So soon doctors will be asking the same question. I wonder what the justification will be then. You gonna tell a doctor they have a no skill job? http://www.elitetrader.com/vb/showthread.php?s=&postid=2256631#post2256631 BTW I found a big discrepancy in the forex market tonight. I tried it on my live account and it worked perfectly I got over 400 pips on 3 trades. Maybe I've finally found something.
=============== Good points; Maybe thats why , they named it Eskimo Pie. I heard on Christian radio recently; TV time tends to encourage a lazy mind, if one watches enough of it. If one keeps a book handy, results may differ. And not to play the blame game ; but actually i think US A saved more when the ad agencys [for banks] did more savings ads
Unless USA aligns Immigrant & Non-immigrant Visas and Outsourcing to Caste system in India and Human Rights in China middle income Americans will be destroyed. http://news.rediff.com/report/2009/sep/29/un-says-indias-caste-system-a-human-rights-abuse.htm http://www.rediff.com/business/slid...forced-to-sign-no-suicide-pledge/20110504.htm
That is part of it. Alot of people have way too much trust in the wrong people. Scams are nothing new in human society the last mess with Alt A mortages and robo signing of loans and defaults shows what the system thinks of the average citizen. They are sheeple, fooder, plebs, and nobody will save them. Alolt of people we lead down the primsrose path right into wealth destruction. I elected not to by a house and I stand buy my decision. People are told it is a wealth building asset. If you take 100K and buy a house vs. buy 100K and buy 10 blocks of SPY. You will be ahead and more liquid by putting money into the SP500. A residence is a cost. People focus here in the states on all the upsides to home ownership. The state likes it and promotes it because it is a major source of revenue. Property tax,school tax, gargbage tax, water tax, etc. The cost of home ownership are understated and sometimes not stated. Real purchasing power for people has dropped,incomes have dropped the cost of living is rising there is very little captial to put into reserves with this scenario. The media does help the issue by spinning the data to fit the agenda. If there is not another economic boom,reality will set in and is a vicious cycle in a stagflation economy. All for One and Theft to All, Akuma Buy GOLD!!!
We don't save because we have access to credit and the ability to spend more. We have access to space to afford two cars, big houses filled with furniture, etc. And accumulating is a primal instinct. If we didn't have access to credit (like in emerging markets) we would all be savers because we would have to pay for our stuff in cash. And if we didn't have space to own two cars or a lot of furniture, then we would save more because we phyiscally couldn't spend. There is a limit to spending if you live in a 200 square foot studio.
Because American culture is inherently individualistic, egocentric and based on temporary sensual self gratification, which is why most people would blow their paycheck on a holiday, flashy car, expensive clothes, ridiculous gadgets just for that moment of decadence with no thought of long term planning. Look at steve jobs, he knew this very well, all his products are named I-something. The American psyche can be simply defined as "I,me,myself".
Right on cue: http://www.cnbc.com/id/45416482 Who is fooling who? All for One and Theft to All, Akuma BUY DIAMONDS, GOLD AND IVORY!!!!
If people save, then a lot of excess capital is created that causes imbalances, pushes down interest rates and creates bubbles. People should enjhoy life, spend a lot and just save for what they absolutely need. Saving made sense when currencies were tied to a commodity. Now saving does not make sense that money is credit. The more you save the more credit is destroyed, i.e. when you save, money is destroyed and the economy goes down. I guess two people here will understand this. One is trefoil. "Savings" is a Marxist propaganda.
Saving is fundamentally about spending less than you earn. It is something you need to do to have any hope of succeeding at capitalism.