Thanks NoiseyGirl, your discussion got me thinking…
As we get hit harder and harder in this economy, the ONLY thing separating middle from POVERTY (not lower) class is our homes, - and they are under siege and our jobs. Soon the moratorium on foreclosures will cease and as the unemployment rate continues to rise, you will see more and more violent incidences and a resurrgence of the 80’s (remember DC used to stand for Dodge City?). As a community, we will have to really buckle down and get ready for a helluva ride. The middle class is becoming an endangered species.
We need to save, and I mean really save. Save that Louis bag you want for later, and stash that cash. Save that new whip you want and stash that cash. Stop popping bottles in the club, get your buzz in the car before going in the club and stash that cash. If you’re living the motto, “it ain’t tricking if you got it…” soon, you won’t have it, stash your cash. Stop eating out and dropping $150 on dinner and buy some damn groceries and eat for a week – and I won’t even TOUCH how the cost of groceries have skyrocketed. Just save your money, stash you cash.
We are experiencing the worst financial crisis since the 1930’s, 533,000 people have been laid of in November alone, 2 million jobs lost since the beginning of this b*******, and they predict another 3 million of us will loose our jobs in the next two years. Housing, credit and financial problems persist; consumer spending fell by 1.7% last month and energy prices are getting lower and lower (notice the price of gas?), these things signal a deflation, which also adversely affect our incomes (IF we have jobs) and corporate profits (which decide IF we keep jobs).
While the Feds are about to slash rates AGAIN, it may help ward off a deflationary period for a while, but it doesn’t help us directly because at this point, many of us have jacked up our credit with a couple of late payments on credit cards, and in my instance, my credit card limit was REDUCED for NON-ACTIVITY!!!! Sure, you can now refinance that McMansion you bought a few years ago, but if you’ve been late on that mortgage, or that BMW payment, you won’t be able to reap the benefits of that. Unless the Feds do something to help those already hit by the recession and put measures in place which will allow EVERYONE to take advantage of the benefits, the s*** is REALLY going to hit the fan.