Comments on: Day of Reckoning is at Hand http://hopetoprosper.com/day-of-reckoning-is-at-hand/?utm_source=rss&utm_medium=rss&utm_campaign=day-of-reckoning-is-at-hand Simple Practices that Lead to Wealth Wed, 16 May 2012 21:08:02 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Bret http://hopetoprosper.com/day-of-reckoning-is-at-hand/comment-page-1/#comment-1517 Bret Mon, 10 May 2010 17:37:25 +0000 http://hopetoprosper.com/?p=1837#comment-1517 Kevin, I felt this way about the 2008 financial bailouts. I don't think our financial system would have collapsed. I think the banks would have adjusted their business plans and kept going. Now, that we have bailed them out, they are hoarding the TARP money instead of lending and there is no reform to keep it from happening all over again. I think you are right about the Land of Oz theory. Kevin,

I felt this way about the 2008 financial bailouts. I don’t think our financial system would have collapsed. I think the banks would have adjusted their business plans and kept going. Now, that we have bailed them out, they are hoarding the TARP money instead of lending and there is no reform to keep it from happening all over again. I think you are right about the Land of Oz theory.

]]> By: Kevin@OutOfYourRut http://hopetoprosper.com/day-of-reckoning-is-at-hand/comment-page-1/#comment-1514 Kevin@OutOfYourRut Mon, 10 May 2010 01:00:04 +0000 http://hopetoprosper.com/?p=1837#comment-1514 I'm not convinced that Greece is better off in the EU or that they'll benefit from the bailout. Short term maybe, but long term, it could dig them in deeper. The real problem with fiscal troubles is rooted in public psychology. The reality is that the fat years have ended, and people need to adapt to austerity. Affiliations and bailouts will only postpone the day of reckoning, but not eliminate it, and when the roof finally does cave in, it'll be that much worse. If Greece wasn't in the EU, and didn't have the prospect of an outside bailout, the fiscal collapse would knock down the house of cards, bring everything down to ground level, and they could refocus on the more important business of rebuilding their house with work/save/invest rather than with debt/inflation/bailout. Long term, nothing is fixed until work/save/invest is returned as the societal norm. Financial crisis has a way of bringing people to their senses in a hurry. Bailouts keep them in the Land of Oz longer. .-= Kevin@OutOfYourRut´s last blog ..<a href="http://outofyourrut.com/blog/2010/05/08/some-jobs-are-not-worth-having/" rel="nofollow">Some Jobs Are NOT Worth Having</a> =-. I’m not convinced that Greece is better off in the EU or that they’ll benefit from the bailout. Short term maybe, but long term, it could dig them in deeper.

The real problem with fiscal troubles is rooted in public psychology. The reality is that the fat years have ended, and people need to adapt to austerity. Affiliations and bailouts will only postpone the day of reckoning, but not eliminate it, and when the roof finally does cave in, it’ll be that much worse.

If Greece wasn’t in the EU, and didn’t have the prospect of an outside bailout, the fiscal collapse would knock down the house of cards, bring everything down to ground level, and they could refocus on the more important business of rebuilding their house with work/save/invest rather than with debt/inflation/bailout.

Long term, nothing is fixed until work/save/invest is returned as the societal norm.

Financial crisis has a way of bringing people to their senses in a hurry. Bailouts keep them in the Land of Oz longer.
.-= Kevin@OutOfYourRut´s last blog ..Some Jobs Are NOT Worth Having =-.

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