I believe that automation of many jobs is contributing to the problem at hand, because capital is becoming more and more concentrated in the hands of the investor class and labour gets a smaller slice of the pie. I believe that things will only get worse before they get better. We should try to encourage progressive taxation and we shoud raise capital taxes for the super rich.
It might not be the same in America, but where I'm from, people just don't understand the dangers at all. Education on the issue is rare, if it's there at all. Most people I know live on a week to week basis, and that's not due to them being poor, it's simply because they spend all of their money and don't save. They're living luxurious for now, but if they even cut back on one takeaway a month or even a bottle of vodka! They'd have much more leeway when it comes to any sort of emergency.
That is something that always call my attention, why isn't education on the area bigger in order to create more awareness? It seems that they don't want the people to be educated...
I strongly disagree. Excessive taxation will only cause more and more of the country's best businesses and best talent to leave the country. And you eventually run out of other people's money to tax anyway - that's what happens in countries like Greece. And did you know that most of our tax dollars are wasted by politicians and government agencies? You cannot trust those people with your money. We need a more business friendly environment, and people in general need to get themselves trained, educated, and focused. People cannot expect to make $100k or even $50k a year bagging groceries for life. Give a man a fish, you feed him for a day. Teach a man to fish for himself, you feed him for a lifetime.
Our president (of the Philippines) recently issued a directive for government agencies to spend their budget so the economy will move. Our president is an economist with a degree in economics from an elite school. He said that money in the bank tends to make the economy stagnate so in order to have a dynamic economy, the currency should be moving. In other words, the more you spend, the more you contribute to the economy.
Because nobody likes preparing for the future and putting money away with so many cool gadgets and toys out. We live in a spend, spend, spend country. It doesn't help that the next generation of 18-27 year olds are being taught in schools and colleges that they deserve everything they want without having to work for it. That it should be given to them. Strict budgeting is the obvious solution, but again, living on a budget stinks. Nobody likes doing it. It is indeed possible on a low-income salary to budget your expenses, pay your bills, and still put money away. Its just a matter of not purchasing expensive items you don't need.
If this bubble bursts, who will "bail" out the average Joe American with no savings? Not only do many of them not save but they also have huge debts (USA has 1 TRILLION USD in student debt alone.) They will definitely be looking at the government, but I can't say I blame them since they government will bail out banks/business when they are in trouble. Most peole don't understand the systemic risk inherent in not bailing out banks/businesses. It's going to be an interesting next few decades for sure.
It's getting worse in the States. Everything is so damn expensive. We might get a raise, but then inflation just kicks in again and the landlord is raising the rent at the end of the month. Everyone will just have to move back home and live with your parents and other siblings just to survive. It's that bad living in the states. You want your space and independence, but it's becoming further out of reach because of over inflation.
My understand was the States was one the the cheapest places to live, especially compared to Central/Western Europe and Canada. I live in a border town with the USA, and the prices on American goods and services are pretty much always lower then the Canadian ones. Gasoline is basically free compared to Canada and Europe. Houses are dirt cheap too! I guess if you live in the core of a major city then your rent will be high, but my research indicates the average cost of a home in the USA is only $200 000! That's not too bad. Cars are also way cheaper in the USA as well. I think the first world problem right now isn't of prices, it's of consumption. If you follow Mr. Money Mustache then you will know that a family can live a really good life in America on $30 000 per year.
Hmmm...never saw it in that light...my question is, will the middle class ever be restored then?...or greed will always be the stumbling block in this case? Just a sad state of affairs
