People never learn......

https://www.cnn.com/2022/08/05/economy/ ... index.html

Debt ..... what's that ?

(kidding )

Me too, just kidding. But I have not always been "here".

No they don't. A financial time bomb. 91K per living breathing person in the US.

Jeff

Same here ..... lots of personal scrimping and saving. I hate debt. I know that properly used debt can be an effective business tool and I have used it for that, but ...... there's something reassuring about looking around your own business and thinking ... "I own this and nobody can take it away".

I think many or most of us old-timers here are beyond owing, except perhaps on a mortgage or new car loan.

I will tell you though, I've recently bought a few staple items on Amazon that I've bought before, and the prices have gone up, in some cases damn near triple of what they were just two years ago.

And AFA rents go, looking at Zillow for my local area, they seem to have increased 30% or so, just in the last year.

Given those examples, I can see where average families may be having to borrow to make ends meet.

Or maybe get the "ends" a little closer to one another by throttling back spending on "wants" versus needs, and/or find another/better job. Seeing the frequency of "Hiring" signs everywhere, there seem to be plenty opportunities.

Inflationary times always result in a lowered standard of living for many, and based on recent events, I suspect costs are going to go up yet another notch, soon.

Oil has dropped from $119 a barrel to a little over $88 a barrel and is expected to continue to drop. Demand is down and Libyan oil production is up. Wheat futures have dropped from $13 to $9 dollars a bushel. Some things are looking better.

"some people never learn..." that you need to pay the rent, buy food, and pay medical expenses too.

On the plus side, wages are probably going up as the unemplyment rate is low and going lower all the time.

I'm not ashamed to admit that I've been living with credit card as supplemental income for a while. My family doesn't spend a lot on extravagant things. I buy one pair of shoes a year, and clothes every few years. We don't eat out often. We coupon and buy groceries that are on sale. For example, ground beef is $4-5/lb. around here. However, they had a sale on brisket at $2.99/lb. Gonna smoke some of it and grind the rest for burger. Things like that. I have a family of 4, and my youngest just started school, so now his momma can get back to work. That should help our cash flow back into the black, which I'm very much looking forward to. While I don't think it's the wisest thing to have CC debt, it's a lot better than not eating, or losing your house.

A pleasant suprise to hear from you, my kid just happens to be living in Green Castle IN, they bought a house there a year or so ago. It's
a very nice town. (oops, NEW castle, sorry!)

Looks like debt is going to be a strong force considering the state of the economy.

The problem is the economy is doing too good. Demand is out pacing supply and lack of workers is restricting output. All us retirees should go back to work.

Speak for yourself. I have been retired since 2003 and have NO intent to go back to work at 74.

Kinda directly across Indianapolis from my location. Funny!

"Demand is out pacing supply and lack of workers is restricting output."

Lack of workers, that will work for what companies are willing to pay, you mean. As my wife says,
any house will sell if you price it right.

Pay goes up, debt for workers might just head in the downwards direction.

Do you understand why there is a "lack of workers"?

This is sarcasm, right?

Jeff

I have been directly impacted by every single recession. That almost always means either I switch jobs, get laid off, work at a company that goes under or at least very early on in my career had to work low paying jobs for a few years after the collapse of the 90's dot-com bubble. And now more recently with the pending takeover of my current company gives me even more reason to never-ever assume any company I work for is a safe place to count on being employed for any given time. As a result I have always saved as if I would be out of work tomorrow. Its the reason I still drive a beater of a old truck and never had a credit card. I look at it as a sort of race to the finish as soon as possible tor retirement.

On the other hand I know plenty of people who go out and buy the latest phones, cars, TVs and so on and have a tremendous amount of debt as a result and would be immediately in a consternation if they lost their jobs today.

WHAT?! And roll out of bed before 10am?? Bite thy tongue!

I have been impacted by one .... yup, a grand total of ... one recession. In the great slowdown of the lat 1980's, the company I worked for did some dirty corporation crap, re-organised, tried to screw us out of holiday pay, commissions, severances etc ..... and after some legal activity paid for by cash donations from ex employees, they finally settled out of court. We got everything and they stayed out of jail.

I was 32 ..... I'd been working at adult jobs (full and part time) for twenty years at that point.

I looked at that fiasco and knew immediately that ANY company could do that to me, so I resolved to never be in that position again ..... ever, or go broke trying.

I borrowed personally, about $13,000 from a family member at then current market +2% and went into business for myself. That recession was the best thing that ever happened to me.

I feel bad for those who are hurt by business activities beyond their control, and yes, I know that not everyone can be self employed, but sometimes .... just sometimes, it doesn't hurt to try.