What makes me upset is that President Bush kept us from going into a worse recession by giving everyone a check and other things to stimulate the economy. Where did he get the money? He borrowed it and put us deeper in debt.
Then came Pres. Obama and he had to one up on Bush. He gave us even more of a stimulus and where did he get the money? He borrowed it and put us deeper in debt. Now we have Pres. Trump and he had to one up on both Bush and Obama. He gave us a huge tax cut larger than Bush and Obama together. He got the money by putting us $1.2 trillion deeper in debt. Who was going to pay that money back? It is going to be our children and our children's children and their children. Other countries have tried to borrow their way out of financial trouble and look what happened to them. History will show you disaster after disaster by people in countries trying to borrow their way out of financial trouble. The latest example would be countries like Greece, Italy, Portugal, Ireland, and the list goes on and on.
People wonder why that about seven years ago I predicted that within 10 years the United States would go into a severe recession and probably a depression. It is simple, I use trend analysis along with other types of analysis. We are allowing individuals to purchase cars, homes, and even furniture and appliances with no money down. That was a major factor of why we went into a major recession in 2008. We are back again to where we were prior to 2008. Do you realize that when you go into a supermarket and buy a candy bar with a credit card that you are borrowing the money that has to be paid back in the future at ridiculous interest rates? We are borrowing for everything. It is not just us borrowing our way into huge debt but it is also our countries.
We now have a world economy centered around the United States. When the United States goes into a severe recession or a depression it is not just going to be the United States that suffers but is going to be the entire world. We can not borrow our way out of debt. We just keep getting deeper and deeper in debt. Debt is going to take us into an economic collapse. The only thing we can do as individuals is to get our house in order. We need to sacrifice now and become debt free. Then we need to stay debt free and not be tempted to borrow more money. If we do not have the money to buy something then we need to hold off until we do have the money. Instead of buying a new car for $40,000, we need to look for a good used car for about $4,000. If we do buy a $40,000 car we have to remember that within a few years it is going to be worth about $4,000. That huge depreciation is true on almost anything except for investments like real estate.
You can go to places like goodwill and purchase almost new items for a fraction of what it would cost to buy it new. I purchased almost all my clothing and other items from thrift shops like goodwill. About a year ago I went into goodwill and on the rack there was brand-new very expensive shirts that at men shops would have cost me close to $50. Even at stores like Walmart they would have cost me around $20. I bought about 10 of them for slightly under two dollars each.
Frugality can allow us to live a good life for a fraction of what a carefree spending life would cost us. Simple things like making a large batch of meals, putting them in containers, freezing them, and when you want a meal just pull them out of the freezer and microwave them. That tip alone will save you thousands of dollars per year.
We may have to ride through depression but we can make that ride a lot easier than our neighbors. A vegan lifestyle will also make that ride a lot easier.
Insert date: 2018-05-27 Last update: 2018-05-27