Money has stopped circulating

[atsimg]http://files.abovetopsecret.com/images/member/aa40382e51cc.jpg[/atsimg]

The basis for a strong economy is present when people aren't afraid to spend money.

Spending money can consist of spending money that they currenlty have or that they believe that they will have in the future. When people are afraid that thier only souce of income will disappear they stop spending and borrowing. We must encourage part-time entreprenurship from home in peoples spare time. Anything and everything. The solution must be that we encourage people to have 2 sources of income each independant of each other.

Many people realized this themselves and decided that both the husband and the wife must work. People always want more than they have, and as a result have a tendency to spend everything that they earn. Many couples spent as much as they could on thier major purchase (Thier home) based on earning two incomes. Now many peoiple have been put in a situation where they only have one income comming in because one of the spouses has lost thier job.

Those who are able to provide for thier families with one income have become overly insecure. The government is still demanding taxes at every level in thier attempt to maintain thier own standard of living. Insecurity is at such a high level that the richest people are now afraid to part with any money at all or are using thier hoarded influence to extort products and services at well below market rates, thereby making the situation even worse since they have most of the money anyways.

The conspiratist in me says that the richest 1% are actually making a concerted effort to seize total and complete control over the population by depriving people of the basic neccesities to live, accurate information about what is actually happening and actually encouraging the population to become more dependant upon the government for thier survival. The realist in me says that the US is becomming collectily stupider as a country and that we will shortly cease to exist a viable civilization.

Thanks for hearing me out. The only thing we have to fear is fear itself.

Good night and good luck.


[edit on 9-8-2009 by In nothing we trust]

reply to post by In nothing we trust


I agree with you. I've started several small enterprises so that I have multiple backup plans. It seems to be working.

People tend to make poor decisions, basing finances on a combined income is one of those; I don't feel sorry for those who didn't think ahead and realize it wasn't always going to be sunshine and rainbows.

People spending less money they might have (credit) is a good thing, the more debt you have the worse your situation is. Saving money makes sense, living frugal makes sense, its just a shame we have to dance on the edge of a knife for more people to realize this!

I have 2 jobs, work 7 days a week, and am able to save decent amount of cash. Would like to get a small side business going as well. You guys have any ideas?

Originally posted by A Fortiori

I've started several small enterprises so that I have multiple backup plans.

It's not easy is it.

I know I have been saving like there is no tomorrow. I have saved so much that no longer am I living Pay Check to Pay Check, but I routinely forget to deposit 2 months worth of Payroll Checks at a time. Assuming my bank doesn't go under along with the FDIC that insures them, then I'm set for 14 months and counting without a job and any assistance. My goal is 24 months of Savings. Until that goal is reached, I'm not spending money on anything but the bare necessities...Housing + Food.

So yes, I'm helping make the U.S. Economy more depressed in the here and now by saving and not spending. However, by amassing Capital while incurring no Debt in doing such, I'm actually helping to reinforce our Economy for the long haul.

Now, if only our Government could figure out the same thing and stop spending and start saving until our Deficit is gone and we have a Surplus Economy.

[edit on 9-8-2009 by fraterormus]

I have spent a huge amount of money that we have saved up in order to pay for supplies for college. I think that I have helped hundreds of companies in the past few weeks by buying their products.

I suppose this is a good time of year for many businesses, especially home-furnishing and clothing companies.

Originally posted by Helig
People tend to make poor decisions, basing finances on a combined income is one of those; I don't feel sorry for those who didn't think ahead and realize it wasn't always going to be sunshine and rainbows.

I don't really think that people who spent too much were aware of the danger that they were putting themselves in. For the most part they were just doing what the corporations wanted them to do. Consume and spend to feed thier desires. Who really was the one at fault. The pusher or the addict?

People spending less money they might have (credit) is a good thing, the more debt you have the worse your situation is. Saving money makes sense, living frugal makes sense, its just a shame we have to dance on the edge of a knife for more people to realize this!

I think it's possible for people to become too frugal with thier money. Where the only thing that becomes important is squeezing every last drop out of everyone they come into contact with.

[edit on 9-8-2009 by In nothing we trust]

reply to post by fraterormus

Saving is extremly important. Stopping credit purchases is paramount. TPTB are shaking in their boots right now. This economy is based on servicable credit debt. That is how many major corporations stay afloat.

When a large portion of the consumers refrain from borrowing money and start accumulating cash,the powers that be begin to lose their control mechanism. What do you think the real reason behind the "cash for clunkers" program is? That 3 billion dollar cash for clunkers program will net over 10 billion in debt,if you figure the max c.f.c. payout is about one third the cost of a new ride.
Keep an eye out for new and improved government subsidised loan programs in the future. They have to keep us owing money for them to function.

As a partner in a fine art and craft gallery, I can vouch for the fact that people are not spending their money on much other than necessities.
We are about to tank. This business once provided 3 families a very comfortable lifestyle.

This trend started 3 years ago. There is a psychological malaise and people are scared and beginning to panic and hoard. I am.

I no longer travel for pleasure, go to clubs, restaurants very seldom, and worry about money constantly.

The spirit of optimism has died in America.

All my contemporaries in retail seem to echo my sentiments.

It's a brave new world; welcome to the monkey house.

reply to post by liquidsmoke206


If you want to U2U me I can tell you what I am doing. It isn't MLM. Its nothing like selling supplements or make-up. I came up with the idea and it works really well for me.

I know people will eventually take this idea and run, but I want to get in and get a customer base quick before this happens.

well, I make a little spending money selling some stuff on ebay. My best friend has a resale shop, and she lets me sell my junk there too. The store has not been doing very well lately. this past week was the 1st time I have ever owed in 3 yrs. I have to pay my share of rent and utilities. The ebay thing really seems to help, you just gotta know what sells, and where to get it cheap ~estate sales, garage sales, etc...... oh yeah, and don't use credit cards unless you can pay it back right away, or its something you really really need!

Originally posted by whaaa

... people are scared and beginning to panic and hoard. I am.

I no longer travel for pleasure, go to clubs, restaurants very seldom, and worry about money constantly.

The spirit of optimism has died in America.

Yup this is what's happening. The snowball is picking up speed and mass as it travels downhill.

reply to post by fraterormus


Fraterormus, I applaud those of you who have
worked hard and are saving money - you ARE
part of the solution to our current economic
problems. HOWEVER, have you contemplated
what will happen to your hard earned savings
should the dollar drop substantially in value?

I'm no expert but if I had money to save I would
invest some portion in precious metals or foreign
currency that isn't tied to the dollar. I also think
that if the SHTF certain items will have great
value such as non-hybrid vegetable seeds,
medicines, hand tools, guns, ammo, water filtration
devices.

As for me I've been disabled for the last 2 years
and social security is still putting me off. Were I not
married I would be homeless. I didn't worry much
about saving before I became ill. Hindsight being
20/20 I know what I should've done.
Que serra, serra

I have all my gear for when SHTF. I still have my 24, 48 and 72 hour bags from working Search & Rescue, and all the stuff I stockpiled in anticipation of Y2K that never happened. Other than recycling my old food supplies with newer food supplies, I'm good to go in that department.

My Great Grandmother who lived during the First Depression taught me the two year of savings rule. It is hard at first to make the sacrifices necessary to save up that amount, but it gets easier and easier.

I do diversify. My stocks are in Old World Companies...these are Corporations that are at least 250 years old. I figure SHasHitTF enough times in that 250+ years that they would be a good bet to hedge my investments on. I have a significant amount of Silver Coins and Ingots on hand. I have US Savings Bonds up the wazoo, but those will probably be as worthless as the Confederate Currency my grandfather found in the attic and gave me as a child. My Cash in Bank is just my everyday SNAFU parachute and will eventually go towards a down-payment on a house (and then replenished in Monthly payments as if it were a loan to myself).

Devaluation of the dollar is a definite concern to worry about and prepare for, but it is not an inevitability. It is just a worst case scenario but real nevertheless. You should always prepare for the worst, but don't ever bank on the worst case happening.

Besides, if one thing that Confederate Currency taught me (along with my Baseball Cards, Comic Books and Star Wars figures), is that even when an object is no longer worth the paper it is printed on, save it long enough and collectors will pay face value or more for it. 30 years ago when I was given that Confederate Currency it was worth nothing to any collector any where as they were far too plentiful in the market. 30 years later they sell 1:1 ($1 USD for a $1 CFD, $5 USD for a $5 CFD, etc.). If the US Dollar tanks for good, sit on your dollar bills for 30 years and you'll be rich again.

Originally posted by liquidsmoke206
I have 2 jobs, work 7 days a week, and am able to save decent amount of cash. Would like to get a small side business going as well. You guys have any ideas?

Damn bro, you have a family that you squeeze in there somewhere?

What do you know? What did you do in the Mil?

Originally posted by fraterormus

... I have saved so much that no longer am I living Pay Check to Pay Check ... My goal is 24 months of Savings. Until that goal is reached, I'm not spending money on anything but the bare necessities...Housing + Food.

So yes, I'm helping make the U.S. Economy more depressed in the here and now by saving and not spending.

Congratulations, you are in a very good position due to your own sacrifice and hard work. The problem is a good portion of the poulation is in or very near dire straits. Many people receive money from the federal government. Veterans receive benifits, disabled and retirees get social security, and retirees are benifiting from medicare.

There are many people who pay into the system and receive no benifit at all and must provide for thier family all the while the tax man stands on every street corner. He holds a speed radar gun upto traffic, he is at the gas pump, he is in the church begging for your cash, he withdraws money from your paycheck, he has left his mark on your utility and cell phone statements, he is at the grocery store, he demands payments in the form of permits and various fees, he is on your licence plate, he is at the airport when you buy your ticket, etc.

THose who are in better situations such as yourself are holding onto thier cash for dear life.

THe economy depends on people spending money, since most people do not earn enough to provide for everything that they need or have enough savings and have too much monthly debt to service.

[edit on 9-8-2009 by In nothing we trust]

Originally posted by In nothing we trust

Originally posted by A Fortiori

I've started several small enterprises so that I have multiple backup plans.

It's not easy is it.

No it absolutely is not, but no one has job security anymore and all I can count on is myself. So why not start them? I'm not investing in 401Ks. I lost 70% of my money that was in mine. I'm buying "stuff" that I will need in the future then packing it away. There is a lot I'm doing to prepare for worst case scenario.

But I still have hope...

Originally posted by Asktheanimals

Fraterormus, I applaud those of you who have
worked hard and are saving money ... HOWEVER, have you contemplated
what will happen to your hard earned savings
should the dollar drop substantially in value?

Hasn't the dollar already decreased in value?

If you have to work twice as hard as you did last year to afford the same amount of stuff then the dollar is worth less than last year. Inflation can take the form of higher prices for goods and services or it can just mean that you have to work twice as hard to make the same amount of money to be able to buy the same amount of stuff.

A wholescale decrease in wages is actually inflation.

I think Obama will have to be impeached for things to turn around.
I have never seen Americans so upset with the President, the House/Senate and Government in general.
The Democrats are ruining America on purpose. I think most of them don't even realize what they are doing. That is how dumb they are.









Are you going to eat that last piece of chicken?