& that's the prob....making decisions based on the past.....when in fact they should be made FORWARD looking....the prob w/our Fed & rates indeed.
As for raising the kids...same thing....when there's a behaviour that needs modifying....focus on how they can improve going FORWARD....set them up for success & not place all that much focus on what went wrong...other than to explain why the behaviour needs to change.
& thus going back to the Fed....same thing....they should be saying....b/c rates were too low for too long, we should not be making the same mistake going forward...thus rates will be kept the same & if things do not improve over the next Q....we may need raise rates.
It's not the cost of money....it's the availbility of it.
What they are now doing is nothing different than going to the Hood where unemployment is double digits & saying.....here's a brand new credit card w/a 20K limit & the rate is 0% for the next yr. So they go on of course on their merry way & max out the card....do ya really think they'll be able to repay? Heck, you could even give them a 10% RETURN on their outstanding balances & they wouldn't be able to pay down the debt.
Sadly, we'll never have a Fed that's forward looking....they may say or want us to think they're....& sadly, most believe'em while the minority whose wiser imo know better.
Like Fleckenstein did....your only hope is to figure out a way to profit off of all this poor decision making...& you do that by looking forward all the while thinking about how they choose to continue manipulating us.
Having said that...I forget which CC Co it was (Visa come to mind) that reported ystrdy or the day b4....but evidently their profits are goin up...more & more folks having to pay for the necessities of life on their cc's.....might not be a bad equity play going forward.....ya just gotta hope personal banko filings dont get too high over the next yr or so....that's certainly one factor to consider here.
OK...gotta run.....time to go p/up the other one....gotta love the minimum days.
