posted on Feb, 11 2009 @ 07:29 PM
The Libertarian in me says, "If big banks can't support their own weight and fail, they should just fail, and make way for small banks to do the
right thing. People will understand what's safe and right and choose the correct path". But the American Kid in me says "MONey MoNey money money
spend spend spend Plasma screen TV wOoO!"
Is this not the mentality that has brought the world to the current position though. Again this view may be totally way off but this is kind of the
way I see it.
Lets go back say 100 years and look at nations like the U.K. and America. They were basically industrial nations. By that I mean as a nation they
built things, they sold those things to people in their own country and they exported those overseas. The money this generated enabled them to import
other things which were then sold to its citisens.
However something happened post war and expanded massively in the 80's and a truely global economy was born. Then I basically see a situation where
there was a revolution for want of a better word. The common man on the street started to look at the rich and started to want what they had. The
big house, the nice car, the holidays abroad.
Then the 90's came and the demands on the average family grew exponentially where not only did the adults want all these fancy toys, but so did all
the kids. Now the average household has 2 cars, 3-4 TV sets and matching DVD players. A couple of computers. His and Hers mobile phones with maybe
a couple added on for the children. Everyone wanted designer gear and the banks and lending institutions duely obliged by allowing more and more
people access to credit and store cards.
Now we are in a position where people's lives revolve around debt. Its great that you make your payments every month, but my question is this. What
would happen if these cards were taken away from you. Where your only real debt is your household morgage (which is at an easily affordable level)
and maybe a car. Everything else you want to purchase is made with only your earnings.
This is the root of my point I think. Having debt is fine as long as the debt is manageable. Its all very well to blame the banks and lending
institutions for whats happening now, Its also easy to blame government. But I think there also has to be blame placed on the general public to. Our
demand to improve our lifestyles is what has created the demand for debt that the banks etc have been happily and in some cases encouraged to provide
that has brought us to where we are today. It almost feels like that as a planet and certainly with regards to the larger economies of the world we
have grown faster than can be sustained in any real terms
Now I am all for improving ones self and our surroundings, but this needs to be done responsibly and over time. That hasn't happened and honestly I
think that we have gone to far. I dont think there is any real way back. It almost feels like we are one card in one huge house of cards and one
more card taken away from the bottom is going to bring everything crashing down.