The ultimate solution to the Greek problem will involve the three D's.
The ultimate solution to our (US) problem is much more complicated but will certainly involve one D IMHO.
That's why I've been s l o w l y moving into real estate over the last 1 1/2 years.
Just a little thought starter.
Hey Slege …... I am not a commyunist!
Can't you see what I was trying to do with my response to Dar?
Dar is obviously feeling a little blue..
I was only trying to make him feel better before he signs that check on April 16th. I'm not sure Dar realizes just how much his contribution is appreciated by the proletariat .
Maybe this will help him …. Dar, did you know that part of your contribution on the 16th may go to saving little puppies and kitties?
Not all of it I'll admit, we do have to cover our 80% administrative costs. But nevertheless …..
I was a Real Estate broker for 45 years, I feel like I assisted in the opportunity for people to accomplish wealth. I certainly created a good bit of wealth for myself.
The fact is the money I have in the bank today (my wealth) is money I made working Saturdays and Sundays and not spending on insurance, a expense on my P&L statement.
If you are of working age, work Saturdays and Sundays, go the extra mile, don't get sucked into insurance, and live rightous.........
" I could say that I created wealth for a country or society? I could, but I won't. Why? Because I was a manager or in other words ..... I was indirect labor or overhead. A fine line I'll admit. "
Now yer talkin like one o dem dang commyunists.
You are absolutely correct in your comments.
Formal insurance companies by and large had nothing to do with the problems we experienced and may have in fact, been victims if they bought some of the junk.
But ...... I was trying to highlight how far the crooks have gone in an effort to "insure" themselves from their speculation. Maybe I was too subtle.
By the way, have you noticed how interested our government is in controlling derivatives? I hope you have ...... because I haven't.
Keep it up, you're all making me think .... I believe my head is going to explode.
CDO's CDS's are collateralized debt instruments with the collateral being primarily mortgages; they have nothing to do with insurance. In fact, had they been introduced as insurance products, the crash of '08 probably would never had happened (although the recession would have continued).
Even at that, only a small amount of the CDO's were really affected, the big problem was money-center banks and investment companies were allowed to create a companion derivatives using +30:1 leveraging.
So a small drop in the housing market had a catastrophic effect on the derivatives market.
Derivative holders were caught off-guard and panicked. Brokers began issuing margin calls and the holders had to raise huge amounts of cash in a very short period of time. In order to do that, they started selling off their equity portfolios -- this is what drove the market down.
The whole thing would never had happened had the Government banned the use of sub-prime mortgages, especially in Freddie Mac and Fannie May -- that's where the crisis really started.
The SEC was totally useless and stood by while Goldman Sachs created these CDO derivatives and pushed them on their own customers knowing full well the things were worthless; in the mean time, they were quietly shorting the market and raking in billions.
None of this had anything directly to do with insurance companies.
I don't know Dar .... the important words were wealth for a "country or society".
You, through your hard work and brains created income and wealth for yourself and your family and there is absoutely nothing wrong with that in my view. I don't know your situation, so I can't say that you created wealth for our "country or society" or if you availed yourself of the opportunity to participate in the transfer of wealth by selling your services/knowledge.
I, on the other hand, participated directly in the manufacturing of a product (cars) at one point in my life. So ..... I could say that I created wealth for a country or society? I could, but I won't. Why? Because I was a manager or in other words ..... I was indirect labor or overhead. A fine line I'll admit.
<<<But you would agree with me that the vast majority/all of the "service economy" does absolutely nothing to create wealth? >>>
Well, the services I sold created a bunch of wealth for me.
I take that back. My services created a lot of INCOME for me. I created the WEALTH by saving and investing a good chunk of that income over many years.
The guy sitting next to me in the college classroom had the same opportunities I had. Only he didn't work as long or hard as I did, nor did he save. He spent 1.10 for every dollar he made and now has nothing.
So our government will now take from me to give to my lazy, spendthrift classmate.
But you would agree with me that the vast majority/all of the "service economy" does absolutely nothing to create wealth? Hence there can be no trickle down from a service economy.
I think our president is finally getting the message if only for the reelection effort.