Comments on: linklings, economic end game edition http://www.bripblap.com/2008/linklings-2008-03-15/ wealth, work and life success Sat, 13 Mar 2010 06:02:31 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: Steve (Brip Blap) http://www.bripblap.com/2008/linklings-2008-03-15/comment-page-1/#comment-11922 Steve (Brip Blap) Wed, 19 Mar 2008 03:07:41 +0000 http://www.bripblap.com/2008/linklings-2008-03-15/#comment-11922 @Pinyo: I'll tell you what I'm doing to protect my wealth: nothing. The market drops 300, then it's up 400. I'm staying invested in index funds, keeping a nice pile of cash like I did when the market was going great, and concentrating on keeping my spending down and paying for everything in cash. Can't go wrong with that formula.... @Pinyo: I’ll tell you what I’m doing to protect my wealth: nothing. The market drops 300, then it’s up 400. I’m staying invested in index funds, keeping a nice pile of cash like I did when the market was going great, and concentrating on keeping my spending down and paying for everything in cash. Can’t go wrong with that formula….

]]> By: Pinyo http://www.bripblap.com/2008/linklings-2008-03-15/comment-page-1/#comment-11896 Pinyo Tue, 18 Mar 2008 13:21:33 +0000 http://www.bripblap.com/2008/linklings-2008-03-15/#comment-11896 Yeah, the economy looks really bad right now. It's incredible that a company that just built their brand new high rise in midtown Manhattan not long ago is being sold for $2 a share. I also don't like the fact that the dollars is going down the drain. Do you have any thought on what to do to protect wealth in this situation? Yeah, the economy looks really bad right now. It’s incredible that a company that just built their brand new high rise in midtown Manhattan not long ago is being sold for $2 a share.

I also don’t like the fact that the dollars is going down the drain.

Do you have any thought on what to do to protect wealth in this situation?

]]> By: Curmudgeon http://www.bripblap.com/2008/linklings-2008-03-15/comment-page-1/#comment-11895 Curmudgeon Tue, 18 Mar 2008 13:01:07 +0000 http://www.bripblap.com/2008/linklings-2008-03-15/#comment-11895 Steve, I've heard that message before, in the 1970s (now I'm really dating myself), with the messy aftermath of the Vietman War, stagflation, gas shocks (I remember the mild form of rationing we practiced just about the time I was learning to drive), and the rapid decline of the steel industry that was the life of my community and region. Yet a decade later the inevitable decline claimed at the conclusion of that decade was forgotten. I suspect that we may be destined to lurch from one crises to another, showing both our fundamental weaknesses and strengths only in the face of disaster. That said, I also agree that America's economic power and influence will lessen over time. It's the way of history. But it's not a foregone conclusion, and it's probably not going to happen, or perhaps even be noticeable, in ten years. And it's not so much a decline as it is other nations of the world becoming richer and more influential. And in the grand scheme, that's a Good Thing. Wealth makes nations more stable. Wars and humanitarian crises, already on the decline, will continue to do so. Of course, there's this oil thing that's the joker in the deck . . . Steve, I’ve heard that message before, in the 1970s (now I’m really dating myself), with the messy aftermath of the Vietman War, stagflation, gas shocks (I remember the mild form of rationing we practiced just about the time I was learning to drive), and the rapid decline of the steel industry that was the life of my community and region. Yet a decade later the inevitable decline claimed at the conclusion of that decade was forgotten. I suspect that we may be destined to lurch from one crises to another, showing both our fundamental weaknesses and strengths only in the face of disaster.

That said, I also agree that America’s economic power and influence will lessen over time. It’s the way of history. But it’s not a foregone conclusion, and it’s probably not going to happen, or perhaps even be noticeable, in ten years. And it’s not so much a decline as it is other nations of the world becoming richer and more influential. And in the grand scheme, that’s a Good Thing. Wealth makes nations more stable. Wars and humanitarian crises, already on the decline, will continue to do so.

Of course, there’s this oil thing that’s the joker in the deck . . .

]]> By: Steve (Brip Blap) http://www.bripblap.com/2008/linklings-2008-03-15/comment-page-1/#comment-11879 Steve (Brip Blap) Tue, 18 Mar 2008 01:15:35 +0000 http://www.bripblap.com/2008/linklings-2008-03-15/#comment-11879 @Curmudgeon: Oh, sure, I am sure the US economy will recover, albeit weakened. I think after Black Tuesday, the S&L crisis, etc. the US economy suffered from a series of weakening blows. For the individual, things will probably continue apace - homes will be bought and sold, index funds will ebb and flow, etc. But I do think that the growing debt, the weakening dollar and the lack of a sensible economic strategy (health care, entitlements and the Iraq war) spell long term gloom for America. I don't see America being stronger 10 years from now than it is today. It will be weaker. @Curmudgeon: Oh, sure, I am sure the US economy will recover, albeit weakened. I think after Black Tuesday, the S&L crisis, etc. the US economy suffered from a series of weakening blows. For the individual, things will probably continue apace – homes will be bought and sold, index funds will ebb and flow, etc. But I do think that the growing debt, the weakening dollar and the lack of a sensible economic strategy (health care, entitlements and the Iraq war) spell long term gloom for America. I don’t see America being stronger 10 years from now than it is today. It will be weaker.

]]> By: Curmudgeon http://www.bripblap.com/2008/linklings-2008-03-15/comment-page-1/#comment-11874 Curmudgeon Mon, 17 Mar 2008 19:48:45 +0000 http://www.bripblap.com/2008/linklings-2008-03-15/#comment-11874 A lot of things to comment on here, Steve. Let me pick one. I've lived through Black Tuesday, the S&L crisis, the real estate meltdown and recession of 1990 (not as bad as the current one, I suppose, but it depends on where you live), the Asian currency crisis, the dotcom bust, and 9/11 (although two of my colleagues didn't live through that one). And that's just in the last 20 years. Somehow we'll get through this one, too. There seems to be a natural predilection for us to exhibit irrational exuberance, and only a very limited ability of the government to detect and do anything about it. I think this crisis all boils down to an excessively large number of people who came to believe that their house was an investment, rather than a place to live. That made it a Smart Thing to leverage it, spend it, and flip it. Conversely, paying off your mortgage was derided as an extremely poor use of capital. But it wasn't an investment, and it wasn't a poor use of capital. Today, I don't have to care what my house is worth, because I still have 100 percent equity in it. A lot of things to comment on here, Steve. Let me pick one. I’ve lived through Black Tuesday, the S&L crisis, the real estate meltdown and recession of 1990 (not as bad as the current one, I suppose, but it depends on where you live), the Asian currency crisis, the dotcom bust, and 9/11 (although two of my colleagues didn’t live through that one). And that’s just in the last 20 years. Somehow we’ll get through this one, too. There seems to be a natural predilection for us to exhibit irrational exuberance, and only a very limited ability of the government to detect and do anything about it.

I think this crisis all boils down to an excessively large number of people who came to believe that their house was an investment, rather than a place to live. That made it a Smart Thing to leverage it, spend it, and flip it. Conversely, paying off your mortgage was derided as an extremely poor use of capital. But it wasn’t an investment, and it wasn’t a poor use of capital. Today, I don’t have to care what my house is worth, because I still have 100 percent equity in it.

]]> By: Is Recession Good to Us In the Long Run? | MoneySocket http://www.bripblap.com/2008/linklings-2008-03-15/comment-page-1/#comment-11869 Is Recession Good to Us In the Long Run? | MoneySocket Mon, 17 Mar 2008 17:30:48 +0000 http://www.bripblap.com/2008/linklings-2008-03-15/#comment-11869 [...] and getting stronger. They shield us from overconfidence. So if we’re in for gloomy times as Steve at brip blap sees it, be prepared to learn some very valuable life lessons and pass them on to your kids so they are [...] [...] and getting stronger. They shield us from overconfidence. So if we’re in for gloomy times as Steve at brip blap sees it, be prepared to learn some very valuable life lessons and pass them on to your kids so they are [...]

]]> By: LC http://www.bripblap.com/2008/linklings-2008-03-15/comment-page-1/#comment-11863 LC Sun, 16 Mar 2008 21:37:22 +0000 http://www.bripblap.com/2008/linklings-2008-03-15/#comment-11863 Yes, polar bears are going extinct, and all the governmnet wants to do is drill for more oil in Alaska. Yes, polar bears are going extinct, and all the governmnet wants to do is drill for more oil in Alaska.

]]> By: Mrs. Micah http://www.bripblap.com/2008/linklings-2008-03-15/comment-page-1/#comment-11844 Mrs. Micah Sat, 15 Mar 2008 20:21:20 +0000 http://www.bripblap.com/2008/linklings-2008-03-15/#comment-11844 If only a bear market were as cute and cuddly. If only a bear market were as cute and cuddly.

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