Our Phony Economy

Even though I am a junkie for economic theory and mathematics, this struck me as a refreshing depiction of our economy today.

The article excerpt and link are far below (look for italics). The following is just my rambling.

In my opinion, we have been riding a bubble of sorts. While I avoid branded items, most unnecessary expenses, and popular culture I realize that most of America thinks I am weird. To them, and you, I say thank you. You have fueled an economic bubble that has made it easier for me to live on the cheap. While you are stuffing your face with McDonald's, wearing Abercrombie & Fitch, and maxing out your MasterCard--I am stacking my cash and frequenting thrift stores. My salary is in line with yours, but I am not in line with you at Starbucks. I am winning, for now.

I long wondered how you afforded to consume so many products. The numbers didn't seem to add up, and now I know they truly do not. You are addicted to products. In order to get products you need money. Hmm.. this sounds like a drug. And your dealer is the credit industry. Unfortunately your dealer seems to be cutting your supply after years of endless offers.

Putting it all together, I am taking some of the blame off of the financial sector for the economics problems we currently see. Let us give some blame back to the people who failed to read their financial contracts and devise repayment plans and strategies. We do not fault casinos for playing unfairly. Why is it we think banks and lenders are supposed to do us favors? They are all in the business of making money.


By the standard of the GDP, the worst families in America are those that actually function as families–that cook their own meals, take walks after dinner, and talk together instead of just farming the kids out to the commercial culture. Cooking at home, talking with kids, walking instead of driving, involve less expenditure of money than do their commercial counterparts. Solid marriages involve less expenditure for counseling and divorce. Thus they are threats to the economy as portrayed in the GDP. By that standard, the best kids are the ones who eat the most junk food and exercise the least, because they will run up the biggest medical bills for obesity and diabetes.

http://harpers.org/archive/2008/06/0082042