With the economy in a tailspin and the 700 billion dollar bailout signed into effect, we are starting to see how our well being is very connected to credit from the average consumer, to large corporations like General Motors.
Credit drives the economy and our consumerism. Not everyone including myself agreed to the bailout signed last week, but if you understand the vital part that credit plays in our everyday lives, you had no chance but to go along with the plan.
How did we get here?
Simple supply and demand.
With a shortage of capital in our pockets, we have to supplement that with credit. In this era of over the top consumerism and trying to constantly keeping up with the joneses, we are all exposed to being a victim of the credit crisis. We need credit to purchase our homes, cars, and start our businesses. Unfortunately when it is snatched away, we are stuck in a hole.
Imagine your paycheck at the end of the week tied to your company's ability to borrow enough to make payroll. Scary isn't it. Just like the oil crisis earlier this year when we saw how much our lives are paralyzed by a slow down in energy, the same goes for credit and the availiblity of it in our economy.
This is a system that has to be fixed. The government and corporations need to create more jobs and opportunities so that we can have the capital available as opposed to solving every economic problem with a charge card. We all have to open our eyes to see that with out a change in our budgeting, we will be financially enslaved forever.
This topic will be discussed on my internet radio show http://www.realmoneyrealissuesradio.com/ this Tuesday 6-7pm EST, or listen to the podcast anytime.
Carl Agard
Author
http://www.carlagard.com/
http://www.adelphipublishinggroup.com/
Credit drives the economy and our consumerism. Not everyone including myself agreed to the bailout signed last week, but if you understand the vital part that credit plays in our everyday lives, you had no chance but to go along with the plan.
How did we get here?
Simple supply and demand.
With a shortage of capital in our pockets, we have to supplement that with credit. In this era of over the top consumerism and trying to constantly keeping up with the joneses, we are all exposed to being a victim of the credit crisis. We need credit to purchase our homes, cars, and start our businesses. Unfortunately when it is snatched away, we are stuck in a hole.
Imagine your paycheck at the end of the week tied to your company's ability to borrow enough to make payroll. Scary isn't it. Just like the oil crisis earlier this year when we saw how much our lives are paralyzed by a slow down in energy, the same goes for credit and the availiblity of it in our economy.
This is a system that has to be fixed. The government and corporations need to create more jobs and opportunities so that we can have the capital available as opposed to solving every economic problem with a charge card. We all have to open our eyes to see that with out a change in our budgeting, we will be financially enslaved forever.
This topic will be discussed on my internet radio show http://www.realmoneyrealissuesradio.com/ this Tuesday 6-7pm EST, or listen to the podcast anytime.
Carl Agard
Author
http://www.carlagard.com/
http://www.adelphipublishinggroup.com/
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