Replies to post #19038 on A.I.M. Users Bulletin Board (AIMUSERS)

[Firebird400]

Hi Tom and board,,,,,,,,,,,,,,Just a few notes and thoughts on the public debt in the USA,,,, 70% of Americans live paycheck to paycheck,,, same 70% can't scrape up $1000 cash without help,, 401k's average just over $40,000 hardly enough for anyone to retire,, I believe interest rates are going higher, much higher over the next 12 to 24 months,, because of the trade deficit, national debt,, etc we must attract offshore money at record levels,, I actually want rates to go up,, money markets around 7% to 8% would be nice,, I know so many people upside down in car loans,, wait until the housing bubble bursts and 0% down 30yr loan people are upside down in house loans,, already bankruptcy city here in Indiana where I live,, our cars and houses aren't worth near what we think,,,big contrast from say Florida where real estate is booming,, as for the market "Don't fight the fed",, if rates keep climbing I think Dow 8000 has a better chance than Dow 15,000, One final thing, How stupid are we with this kind of debt? China uses the interest from our debt it holds to do what? Buy oil! They use our own borrowed money against us! Firebird

[Neil Scott]

Worked to death
Hello Tom, Well said
What has always seemed odd to me is that people will work themselves nearly to death to make money, but have casual disregard for what to do with it once it's been accumulated.

This is just so true.
My aunt and uncle have their home paid off, have accumulated around a similar value in the bank and a few stocks and yet they continue to work like dogs. They hardly ever take holidays and finish late on most evenings they are not the owners of the business they work for so there is no need to put in excess time for no reward.
Any yet every time I try to convince them to use AIM more actively the excuse is the same each time, don't have the time, too tired.
They are worn out by their day jobs and they just can't see to make the connection that managing their accumulated wealth more efficiently would ease their work burden.
My father always uses this saying "Work to live, don't live to work" many many people have this the wrong way around.

My milestones are going to be.
1. AIM produces profit of half my salary.
2. AIM produces equal amount of my salary.
3. AIM allows me to work 4, then 3 days a week.
4. When AIM allows me to fly business class, I'll know I've arrived :-)))

Regards

Neil

[AIMster]

Mr. Lichello's book inspired me. I had, by luck and trial, found cash to be a worth while asset in my early days of investing. However, I used it poorly before coming across AIM.

The book that was my first real inspiration investing wise was by Dr. Mark Skousen, High Finance on a Low Budget. One reviewer of a later paperback edition writes on Amazon: "This book provides a great introduction to personal finance. I have read it over a few times over the years, and although some of the specific recommendations are outdated, the concepts presented are still right on target. Anyone that takes an interest in money and investing will probably outgrow the book at some point, but we all have to start somewhere. Skousen is the undisputed heavyweight champion of free-market advocates, and some of his advice is more geared towards advancing this national economic agenda than the reader's personal financial interest. He does point this out, so I took no particular issue with it. I simply did not follow his advice if I didn't see the benefit. Each edition of this book reflects Skousen's intense concern with inflation. Some of the resulting investment recommendations, including gold, art, real estate, and collectibles probably wouldn't have produced a great deal of wealth for many readers. This is hindsight, however, and does not diminish the value of the advice offered in aggregate in the rest of the book."

I think I got it at a bookstore in New York City back in the day when we lived there. Certainly following it's ideas let me put aside enough so we were able to finance our move upstate later on, helped with buying the house, etc. I probably have the first edition from the late '70's or early '80's. I've been a collector of books (another side effect of my reference librarian father's influence), many geared toward investing ideas of one sort or another.

I know I got Lichello's book from Amazon, but I can't recall how I found it specifically. Even Mr. Lichello admits in the 4th edition that the title is somewhat "hokey." In any event I'm just glad I DID find the book - and the excellent compatriots who make up this posting community.

Best,

AIMster