Thursday, March 27, 2008

The Economy: You Reap What You Sow

The credit collapse: How could anyone NOT see it coming? For decades hundreds of millions of Americans have sold their future for immediate luxuries - in the form of home equity loans, credit card debt and adjustable rate mortgages. Of course, shortsighted companies took advantage of consumers' stupidity in exchange for a quick buck. I think it all goes back to the "me-me-me, now-now-now" attitude of the baby boomer generation.

Prophetic were the lyrics of a 1990s Kevin Gilbert song:
"The baby boomers had it all, and wasted everything.
Now recess is almost over, and they won't get off the swing."
Well, recess is certainly over, and those who cashed in their financial future are simply reaping their own noxious harvest.

Also timely was the counsel of LDS Apostle Joseph B. Wirthlin:
“All too often a family's spending is governed more by their yearning than by their earning. They somehow believe that their life will be better if they surround themselves with an abundance of things. All too often all they are left with is avoidable anxiety and distress” (May, 2004).
My family is one of very modest means, but we've managed to avoid the pitfalls of deficit spending. Sure, we don't have a giant flat-screen TV, we drive a couple crappy sedans and our home isn't exactly dinner party material. But still, we have zero debt (excepting a standard mortgage). So I'm not really missing those extraneous niceties at this point.

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