Thursday, September 15, 2011
Bill Cosby said "there's always worse". Just how worse is anyone's guess. When an individual gets into dire straights the first thing is to cut back on recreation and niceties. Then look for extra income in the way of part time second job. With the nation however it's a different story. We've cut back our income from the first source (Tax cuts) and added spending (two wars) with borrowed money not to mention the addition of the costs of adding a new security system (Home Land Security). All done I might add under George W.Bush. And let us not forget the bank bailouts also done with borrowed money. But when a family gets into really tough times they start selling the family heirlooms just to put food on the table and a roof over their head. Unfortunately however food prices are going up and being upside down in a mortgage even when qualified is no comforting thought. Banks are now restarting the process of foreclosures so if you thought you were safe from the repo man think again. All the while gas prices are still just below $4 a gallon so even looking for or getting to work ain't cheap either. Did I mention that those mortgages that were variable (Alt-A loans) are about to hit peak around October or November? Remember I keep track of such info. America has been selling off it's assets but the beneficiaries have not been the taxpayer but again the boys on Wall Street.
Take a look around your neighbourhood and note the for sale signs especially those owned by the bank. Or note empty buildings boarded up long ago. I'm even seeing brand new buildings with for lease signs not occupied for months now.
It's said that just 400 people in this country own more than the bottom 150 million! There's a startling figure. And it's not getting any better out there. It's getting worse.
Bank fails later