Randita, I hear you, and I know what I am suggesting is very risky, or at least a strong lesson in fiscal discipline..
I also learned to read a P&L statement, and I have, on a much smaller basis, had taken over failing businesses that I knew would revive if someone would just stop wasting money, because the prior owner was unwilling to cut and fire, change or fall..
We have a bad economy we all agree, but it can and will get a whole lot worse if someone or something doesn’t change, and fire.. There comes a time when going back no is longer an option, because we are under water, like a bad mortgage.. We really owe $156 Trillon, not $16T when we factor in all future encumbrances..
I’m warning all of us, that today is a lot better than tomorrow because we are borrowing more money every day.. We are spending more every day, than we were today.. Today is the best day we will ever have in the future..
Those who say, and I am not suggesting that you are, we can’t take the hit that the SHUT DOWN option will hurt everyone, I say don’t act like a Frog in the boiling water.. Jump Out Now, before you surely will die.. I’ll take the pain if I know it will get better, other than sure death...
We reached that point some years ago. It's like watching a wreck in super slow motion. Even if Romney were elected, it wouldn't change the downward spiral, but it might have slowed it. Romney was promising to get the economy moving again, but we're beyond the point where a decently growing economy will staunch the bleeding.
We need an immediate 40-50% cut in the federal budget just to balance the budget from year to year (not taking into account the debt and unfunded liabilities) and that's NEVER going to happen. It would be political suicide for any candidate to tell the truth to the electorate.
I'm going to salt money away while I still have a chance. That means I won't be a big time consumer, but I won't give up my income.
Read market-ticker.org today. Denninger has it right.