Posts Tagged ‘finance’

A Nation Addicted to Two Things – Greed and Debt

October 7, 2008

As you know, I’ve been reading and writing a lot about the Bailout Plan and all that’s wrong with it.  You can read my other posts for my feelings on the recession we’re in now.

The more I read, though, the more troubling I find the way we do business.  Businesses need access to credit to meet payroll needs and to pay for operation expenses.  Individuals need access to credit to fulfill daily needs and for big purchases like refrigerators, TVs, and cars (ok, cars I can understand, but a $1000 fridge?).

What ever happened to SAVING?

I try and live within my means, avoid using credit cards (I do have a balance, argh), and save a few bucks for rainy days or big purchases.  Even though I am saving a little, I feel that I’m not doing enough.  I don’t want to be in debt, and one day, I’d like to own my home outright and not have a mortgage payment.

I just can’t fathom how others can live by running up more and more debt, saving absolutely nothing.  In the end, you have to repay those debts, and servicing them can cost you hundreds or even thousands of dollars a month.  

Until we get out of this mode of greed and instant gratification, sacrificing savings for more and more debt, the problems we are facing now will continue to persist.  We do need a bailout, not one of Wall Street, but one of the way we look at our finances and how we live our every day lives.  We need to save and not spend more than we make.  That’s why they need to let this recession run it’s course.  It will teach everyone, from Wall Street to you and me, that running on debt is destructive and that savings and self control is needed.