United States Heading towards a Depression?

You can spare some money in such a way, but still you're not actually getting out of debts like that, unfortunately, I support Blogmaster's opinion in this case

 

I did not say that anyone can get out of debt overnight. Who's debt free nowadays anyway ?

 

Me is debt free, if to be honest, I know how much I can earn and have made myself spend exactly as much as I can afford myself, not more)) I'm not boasting, really, just wishing that people would be able to keep to their expenditures limits. Credit cards are only spoiling us, cause we are encouraged to spend more, than we've earned

 

Me is debt free too - took a long time though and continual budget adjustments. But I made it!!!!

 

I have 2 vehicles and a house here in Maryland so I guess I am not debt free. My 2 daughters are studying 1 is just about to finish college this April and 1 just started. I only have 2 credit cards 1 is Amex and 1 is Bank of America. To top it all I have 2 houses in the Philippines but thats been paid for a long time ago 1 in Metro Manila area and 1 is near the beach in Batangas.

i guess I am not debt free.

 

There is a huge difference between a 30 days payable debt, long term debt on investment and the governments debt which is debt on top of debt and interest debt that pays no principle.

A mortgage on a home is a long term investment and hardly debt when the equity in the home and the homes value exceeds the debt. I would argue its not debt at all in that case.

No, no one is debt free. You still have a 30 day cycle of debt that must be paid. Heat/gas, electric, insurance, food, whatever the case may be. Certain necessities and other consumables are part of your 30 days payable, either personal or business.

You cannot escape that kind of debt.

But, you can become free of other things like a mortgage, credit cards, auto loans and other long and short term debt.

Assuming you pay your debt down on time and a significant amount of the payment covers a larger portion of the principle on the debt, rather than the interest... You will pay down the debt.

The trouble with the US governments debt is no principle is paid on any of our debts. We are paying for interest on interest, neither of which are contributing to any reduction in overall debt over time.

We're making our 30 days payable in some cases with borrowed money that we are paying more interest on.

That's not how you run a business. If you do, you go out of business. Its also not how one runs their personal household. You do, you lose the farm!

 

The biggest problem that I see is when people lose track over what they own and what they owe. People tend to always bank on tomorrow and when tomorrow never comes, panic sets in.

 

The problem with our government is they are NOT thinking about tomorrow...

 

The problem of our government is that they aren't worried, I'm sure those politicians who have at least some idea of how economics works, can't but acknowledge all hurdles and dangers of the current state of things.

But somehow this group of people is confident of the fact that even in case of a total collapse their personal financial well-being won't be hurt. What is the worst here, is that the system now works in the way, that they might even be right in such thoughts.

 

29 members of Congress have been accused of spousal abuse,
7 have been arrested for fraud,
19 have been accused of writing bad checks,
117 have bankrupted at least two businesses,
3 have been arrested for assault,
71 have credit reports so bad they can’t qualify for a credit card,


14 have been arrested on drug-related charges,
8 have been arrested for shoplifting,
21 are current defendants in lawsuits,


And in 1998 alone, 84 were stopped for drunk driving, but released after they claimed Congressional immunity. (from Capitol Hill Blue)


Source: Snopes

 

err did you read where even you source says these claims are silly?

 

Absolutely right. Congress exercises power by spending money. For Congress to not spend money is for them to not exercise power.

Notice that whenever the Democrats are asked to cut spending, they ALWAYS whine that "this is not the time". It is NEVER the time for Democrats to cut spending, they enjoy the power too much. The Dems spent $3 Trillion and the USA is still in a depression.

 

The problem with Democrat spending is, it creates nothing.

RIGHT - Defense spending, employes people, creates jobs and keeps us safe.
LEFT - Social spending keeps people dependent on that spending, it helps no one.
RIGHT - Tax cuts (which Dems label Spending) spurs economic development, investment and gives business the tools necessary to create jobs and expand.
LEFT - Stimulus spending. Takes money we don't have to pay people who contribute nothing new to our revenue system.

I could go on, but I think the non-kool-aid drinkers here get the point.

 

i completely disagree if you say military creates jobs i guess health care goes into a pit?
i guess people like me should just be left to rot hey?
both sides create jobs, both sides however waste money in order to get votes
the dems suck as bad as repubs, but your statements are far from factual

if memory serves me right bush also used stimulus spending, at that time of course republicans were all for it

http://www.msnbc.msn.com/id/2314381...nd_economy/t/bush-signs-stimulus-package-law/

 

It would seem people from both sides of the isle believe in keynesian economics for short term boosts. Democrats seem to be under the impression the government can pump(print) money into the economy for all eternity, something I doubt Keynes himself would have championed.

In the short term, Keynes, in the long term Classical. We are four years out. We have fired our Keynesian bullet and it didn't do much. Its time for the belt tightening to begin.

 

it comes down i believe as it always does if a republican were in power and did the same shit repubs would be chanting its the right thing, same for the dems. the bigger picture i have long learned both sides will lie, cheat, steal flip flop etc to get reelected

 

I said defense spending creates jobs.

I'm not certain what gave you the idea that defending freedom meant you would rot.

Neither side is creating jobs, nor is either side supposed to create jobs. One side believes they should create jobs, and they do it by employing people on the backs of those that provide the federal tax revenue. This creates no additional federal tax revenue.
The other side's policies are meant to create an environment with which jobs can be created.

I would say that I prefer one ideology over another. I'm merely stating an opinion. You disagree with it.

At the behest of a completely democratic congress yes. But then again while Clinton was at the helm controlled by a completely Republican Congress we were able to balance a budget, create a surplus among other things...

 

ummm generalized with any thought process you are stating The problem with Democrat spending is, it creates nothing.
dems spend on health, you have directly stated dems create nothing,
as far as stimulus spending, lmao congress backs the republican president and republican mantra and now those democrats are blamed for backing such a stance. i remember being against stimulus spending while republicans were for it.

i dont know what 'freedom' has anything to do with any of your statements or mine.


you said dems do not create anything, so again healthcare jobs do not exist according to your words.
im on ssi i guess im a drain to the system and do nothing according to your own words.
me paying taxes, property taxes, sales tax etc means nothing right?

 

er, I was wrong Grim.. Democrats create debt. Sorry...

 

both sides create debt.
one of the reasons i wont vote for either,

btw im on disability not happy about it but will be up front about it.
even being on ssi i say the entire system of social type care needs a scrubbing, those being kicked off it who dont need it.
this needs to happen at the top and bottom, however nobody will ever do it because of course they will lose power