“Credit isn’t the problem; the misuse of it is.”
Exactly right. But it is rampant and an addiction. And the only way to fix this is with an intervention. It needs to hurt. It needs to become rough, it needs to bring culture and society back into reality. It needs to wake folks up to the fact money does not just grow on trees, it has to be earned as a Meritocracy.
“Without lending, there’s no multiplier effect—just a fixed supply of money slowly changing hands.”
Which is good. It forces practicality and priorities. If you can’t afford it then you really do not need it. Earn and save up the money for purchases. Will it hit living standards? You bet... But these “living standards” on credit are just an illusion anyhow, you don’t really own it until it is paid off, and you paid three times more than what it was worth. It is false wealth and lifestyle. Being forced to live within means would make folks actually appreciate the dollar and respect the value of the dollar. And it will force the credit/banking industry to rethink their policies or go under.
As a teenager, I was taught to never borrow money unless you absolutely have to. I only borrowed to buy a couple of houses and even then paid off the mortgages ASAP. I've never borrowed to buy a car.