- Registration time
- Last login
- Online time
- 184 Hour
- Reading permission
fish, and eightyeight
Another thing about your list that I felt was quite funny. Just like Bill Gate’s wealth doesn’t make you rich, Brad Pitt’s look doesn’t make you handsome. Therefore, bringing up these lists just makes you look worse by comparison.
eightyeight: I agree with you that it is about credit, and how much credit you can get. The debt is just a reminder of who has financial leverage. Snow and Greenspan went to China to ask for more credit, alas please buy more Treasuries so the US can spend money it doesn’t have, to sustain a lifestyle it cannot afford, but still don’t want to give up.
The bourse will significantly reduce petrodollar recycling. As the debt ratio goes up, the creditworthiness will tighten further, and future borrowings or credit, will be more and more costly. We may not see it all reflected in interest rates, but “Give me” will show up elsewhere, like in trade, FDIs, etc.
You are also correct about the treadmill, as many Americans are but one or two paychecks from insolvency. I’ve seen enough 1003 in my life to know the high leverage and debt burden of the typical American. Better peddle harder, since many are just a few paychecks ahead of their debts.
That’s why I love the changes in the Bankruptcy laws, and feel it is not strong enough. If the laws were tougher, people may think twice about being such reckless consumers. About the only exception I would grant would be for people who got wiped out by natural disasters like Katrina. But if they were adult enough to charge up their credit cards, and adult enough to incur debts to their eyeballs, they should be adult enough to fulfill their responsibility of repayment. At least this Bush Congress is good for something.