Post by Honeylioness on Apr 16, 2009 12:31:50 GMT -5
When you’re flush, but acting flat broke
Even those whose jobs are safe are spending less, which holds down growth
www.msnbc.msn.com/id/30240529//
This article was sent to me today and I must say it elicited some rather strong feeling from me. For instance:
WHO decided that the only way to measure a successful economy is through sales growth? There seems to be something wrong with the premise in my mind. When did holding one’s own and being stable become such a negative thing? I do understand the economic principle that more spending means a greater demand for goods which let’s manufacturers higher more people who can now buy groceries and a home.
But let’s get real.
Frankly I am not all that concerned that some Asian bureaucrat will not be able to afford a new Mercedes this year while paying sub-standard wages that barely feed anyone to a labor force churning out billions of pounds of poorly made crap.
Who determined that bigger is better? It sure is not working for the Federal Government so why would I believe them when they tell me it is good for Main Street? Logically would it not be best to let a company maintain a sustainable steady income stream rather than subtly push them into expansion and risk that leaves them under-funded and vulnerable to the current market situation? Is this really good economic practice?
Or is it just plain old greed once again rearing it’s slimy head. Or perhaps the media which on the one hand curls it’s collective lip at those who save even as they proclaim nightly the litany of doom and gloom, then predict when Nero will be tuning up his violin before giving us a sound bite about how we should all have an Emergency Fund of 6 months living expenses before cutting to a commercial featuring a cruise ship populated with make-believe people. Thorazine anyone?
Are we really supposed to blithely ignore that 45% drop in value of our 401(k) accounts and instead buy a big screen television? I am not sure I buy into the article’s premise that those earning more than $100,000 a year should be spending more to make up for all those minimum wage earners who have lost their jobs and are close to losing their homes.
I am tired of people talking about “frugality” with the same tone of voice and attitude that they do about people who kick puppies. I refuse to apologize for my frugal mindset and ways. I will not bow to the “Talking Heads” who really don’t give a rat’s pattootie for my long term goals and ability to support myself, but are only looking at where they can off shore their next multi-million bonus to avoid paying the IRS.
I also think it is ironic that the article doesn’t mention the credit card companies – who surely are failing to do their patriotic duty by encouraging people to spend. What is it about lowering people’s credit limit, increasing their finance charges and shutting down their accounts with no warning says to you “Gee, seems like a GREAT time to buy an entire new wardrobe!”
NO !!! – we need to stand strong fellow savers and the fiscally conservative. Embrace your inner miser and validate the Scrooge side of your nature. Take pride in that monthly savings account statement and hold your head high as you turn the key in the ignition of your 10 year old car. We will be the last ones standing when or if this monetary House of Cards flattens under it’s own hubris. And our children will be those in the next generation to proudly declare that their lives are more balanced and emotionally rich because of the sacrifices we made for them now.
Even those whose jobs are safe are spending less, which holds down growth
www.msnbc.msn.com/id/30240529//
This article was sent to me today and I must say it elicited some rather strong feeling from me. For instance:
WHO decided that the only way to measure a successful economy is through sales growth? There seems to be something wrong with the premise in my mind. When did holding one’s own and being stable become such a negative thing? I do understand the economic principle that more spending means a greater demand for goods which let’s manufacturers higher more people who can now buy groceries and a home.
But let’s get real.
Frankly I am not all that concerned that some Asian bureaucrat will not be able to afford a new Mercedes this year while paying sub-standard wages that barely feed anyone to a labor force churning out billions of pounds of poorly made crap.
Who determined that bigger is better? It sure is not working for the Federal Government so why would I believe them when they tell me it is good for Main Street? Logically would it not be best to let a company maintain a sustainable steady income stream rather than subtly push them into expansion and risk that leaves them under-funded and vulnerable to the current market situation? Is this really good economic practice?
Or is it just plain old greed once again rearing it’s slimy head. Or perhaps the media which on the one hand curls it’s collective lip at those who save even as they proclaim nightly the litany of doom and gloom, then predict when Nero will be tuning up his violin before giving us a sound bite about how we should all have an Emergency Fund of 6 months living expenses before cutting to a commercial featuring a cruise ship populated with make-believe people. Thorazine anyone?
Are we really supposed to blithely ignore that 45% drop in value of our 401(k) accounts and instead buy a big screen television? I am not sure I buy into the article’s premise that those earning more than $100,000 a year should be spending more to make up for all those minimum wage earners who have lost their jobs and are close to losing their homes.
I am tired of people talking about “frugality” with the same tone of voice and attitude that they do about people who kick puppies. I refuse to apologize for my frugal mindset and ways. I will not bow to the “Talking Heads” who really don’t give a rat’s pattootie for my long term goals and ability to support myself, but are only looking at where they can off shore their next multi-million bonus to avoid paying the IRS.
I also think it is ironic that the article doesn’t mention the credit card companies – who surely are failing to do their patriotic duty by encouraging people to spend. What is it about lowering people’s credit limit, increasing their finance charges and shutting down their accounts with no warning says to you “Gee, seems like a GREAT time to buy an entire new wardrobe!”
NO !!! – we need to stand strong fellow savers and the fiscally conservative. Embrace your inner miser and validate the Scrooge side of your nature. Take pride in that monthly savings account statement and hold your head high as you turn the key in the ignition of your 10 year old car. We will be the last ones standing when or if this monetary House of Cards flattens under it’s own hubris. And our children will be those in the next generation to proudly declare that their lives are more balanced and emotionally rich because of the sacrifices we made for them now.