Discussion in 'Politics, Religion, Social Issues' started by hotzenplotz, Aug 21, 2008.

  1. hotzenplotz macrumors regular

    Sep 19, 2007
    From my early childhood, I was always taught that debt is a bad thing, and if you happen to have debt to pay it off ASAP. Living within our means was a given. Everyone had a savings account, and some long term savings investments.
    Times have changed, credit cards are a given, debt is a normal occurrence and savings are at an all time low. This is the direct product of an instant gratification society, where many things are less and less appreciated and the common theme for happiness is spending.

    It is disgusting.

    The States are 9.5 TRILLION dollars in deficit. Just let that sink in for a moment. NINE AND A HALF TRILLION in red as of August '08!!!
    What would the bank do if you were in debt and not paying it off; instead, you ask the bank for more money and hand the responsibility for payoff to your children and grandchildren?? Would you do that? Would anyone in their right mind do that?
    Yet, somehow it is OK for the government to borrow more and print additional money to pay for expenditures, handing the bill not only to us, but our kids and grandkids.

    If we as people do not wake up from this life of deficit, by 2017 the mortgage meltdown is going to look like a joke. Everyone and their grandchildren will be paying for it.

    Go see this movie if you dare.
  2. Desertrat macrumors newbie

    Jul 4, 2003
    Terlingua, Texas
    I've been reading about it and its subject for quite some time. Lots of info about it from the Agora folks, the producers.

    Basically, it summarizes the causes of today's world financial woes, how we got where we are now, and what the future is likely to be.

    When folks like Warren Buffet are on board with the ideas, it's no lightweight thought about the real world of money and economies...

    It's not so much a must-see from the standpoint of "if you dare" as it is to learn something about the real world.

  3. hotzenplotz thread starter macrumors regular

    Sep 19, 2007
    Yeah, the dare part was added in regards to reality: People do not like the truth if it hurts...oh, look, another celeb got married ;)
  4. SMM macrumors 65816


    Sep 22, 2006
    Tiger Mountain - WA State
    I had to get married to learn fiscal responsibility (from my wife as one might expect). I made very good money, but always felt like I was broke. Well, a sizable chunk of my take home was going to pay consumer debt. The only smart moves I made were maxing out my deferred compensation contribution and put 15% in my 401K. Otherwise, I was totally undisciplined. Edie got me on track. I gave her my check and she managed our finances. After a year (or so), the vast majority of the debt was paid-off and things became a lot less stressful. Since that time, I have become a crusader for fiscal responsibility. And that starts with our government.

    For budget year 2007, over 9% of the total budget went to debt service! That is a whopping $243.7 Billion. That is more than Education, Transportation, Agriculture and Veteran's Benefits combined. I have not seen I.O.U.S.A. However, I have read extensively on the subject. In my opinion, our debt has to be paid down before we realize any long-term solutions for the economy.

    One day I was TV surfing and stopped briefly on TBS. There was a minister/salesman on, telling viewers to stay out of debt and to manage the finances responsibly. I thought, "wow, that is a good message". I later discovered the reason was he wanted more money for God's work. :rolleyes:
  5. Desertrat macrumors newbie

    Jul 4, 2003
    Terlingua, Texas
    I always had a job from college on. Was married, my senior year. A little over two years later, had a kid. Still, I didn't do much looking toward the future beyond making sure all bills were paid and there was a little cushion.

    The big WAKEUP! call for me was the spring of 1974. I was a civil works design engineer and cost estimator. In the first quarter, the price of cement had jumped from $4/bbl to $11/bbl. (Energy costs. Sound familiar?) I seriously changed my ways about providing for the future. I got very busy in penny-ante buying/selling real estate and reinvesting. Did more coin shows and gunshows on weekends. Lotsa nights in the garage, rebuilding motors for people. Did all my own home maintenance, giving me extra money to save or invest.

    Compound interest is good.

    And we still had a ton of fun through those years. :) Still are.

  6. bradl macrumors 68040


    Jun 16, 2008
    Too true.

    This does, however, sound like "An Inconvenient Truth" for the US Economy. Since it looks like our children's children's children's children's children's children are going to be footing the bill until their children's children are born, we may want to take interest in this; at least it won't hurt to hear what they have to say..

  7. Cursor macrumors 6502


    Jul 17, 2002
    Wow. Very good movie. This stuff scares the living daylights out of me. Partly because nobody ever mentions it. It really should be talked about in every presidential debate. In every budgetary debate.

    Why the citizens of this country never revolted against the government when we left the gold/silver standard baffles me. Especially when people wised up, and saw how inflation affected them, and how the government banned the use of gold back in the 30s.

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