Newsweek: Spending Spree Over April 21, 2008Posted by pf in Expenses and Savings.
Tags: bailout, bankruptcy, debt, economy, GDP, mortgage, net worth, newsweek, spending, subprime
I came across the following article from Newsweek
Essentially, the writer outlines how the spread of credit created a boom in spending that had both positive (increased accessibility to funds for housing, etc) and negative (overspending) effects. Due to the current crisis and the generally indebtedness of our population, the author wonders if the era of free spending which generated significant growth not only in our own economy but for others around the world is over and what it may mean.
In my view – GOOD. I have waxed on about similar topics in the past where I have expressed concern about our country ranging from the dire state of personal finances (too much debt, too little savings) to broader topics such as the crisis we are facing with Social Security and Healthcare.
I remain deeply distressed and concerned about the path we are on and the recent bailout proposals for both businesses and consumers who have made foolish mistakes and may be saved via a taxpayer rescue only strengthen this view. WAKE UP.