Very intersting posts.

I agree with Judy on many points, Americans have become financially irresponsible from the White house to the aisles of Wallmart to car dealers and Real Estate/mortgage brokers. I bought my house over 10 years ago and boy did they break my you know whats to give me a loan. Why? because they had much stricter parameters than recently, with much less risk. Now lets go back 3-4 years lenders were giving loans away, low doc loans, teaser rates(at a record pace) and real estate people were selling homes to anyone wether they could afford it or not. Why? BIG $! Now people are loosing homes they couldn't afford in the first place(at a record pace). We are up to our eyeballs in debt and many cany afford to pay the piper.

Wilomon also makes a great point. Our president took a surplus economy and since then, buried us in deficit(Conservative?). The value of the dollar is weakening. The amount of $ spent in Iraq is staggering, for what? WMD? There are people getting rich from this war, it just aint me and you folks (See Haliburton).
These funds could be better spent help education and help teach jobs which is the key to bring opportunity to the poorer classes. The more educated money makers we have/create, the more people will purchase goods and the more our economy will grow, healthy growth(not borrowed growth) Also we could do something about the medical industry which is in a shambles and costs everyone(that pays) millions.


Most markets go through cycles where things go from under valued (lows) and go to overvalued(highs) only to eventually be corrected and drop closer to realistic values and start again. There are many factors that control this and it will vary from industry to industry and from one geographic location to other areas. The world has become smaller and economies from other nations affect each other now more than ever.



Depending how stable you are financially and how you make your income these changes may affect some more than others.

The bottom line is if a squirrel doesn't save his nuts during the summer he is gonna starve when winter hits. This has been how we have survived for millions of years.
Now people are spending what they dont have and many dont appreciate what they already have and always want more. Our debt is at a record highs and winter is setting in folks(the correction). The old work ethic, work hard and save has changed to, work hard and make minimun credit card payments. This mentality can only last so long and then comes a correction.

How many nuts do you have for winter? That is the most important economy and it differs from person to person. It's not how much $ you make but how much you got leftover that counts. Wether it's $30,000 or $300,000 if you spend more than you make you are gonna get in trouble, eventually.