A Quote by Robert J. Shiller
This is the paradox of thrift: belt-tightening causes people to lose their jobs, because other people are not buying what they produce, so their debt burden rises rather than falls.
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We're in a classic demand-shortfall recession. There aren't enough jobs because total spending is too low. Consumers won't lead the way because they're busy paying down debt and are fearful they'll lose their jobs, if they haven't already. Businesses, which are currently sitting on mountains of cash, won't spend either, because they already have sufficient capacity to produce more than people are willing to buy.
People do dollar cost averaging because they have regret of making one big mistake. But the fact of the matter is that, mathematically, the market rises more of the time than it falls. It falls, but it rises more of the time than it falls.
Only when you lift a burden, God will lift your burden. Divine paradox this! The man who staggers and falls because his burden is too great can lighten that burden by taking on the weight of another's burden. You get by giving, but your part of giving must be given first.
I would certainly rather the industry not go broke, but if that's what it takes for everyone to acquire some values and lose that sense of entitlement, maybe a little belt-tightening wouldn't be so tragic.
People tend to think that paying a debt is like going out and buying a car, buying more food or buying more clothes. But it really isn't. When you pay a debt to the bank, the banks use this money to lend out to somebody else or to yourself. The interest charges to carry this debt go up and up as debt grows.
Because we always have to wear a uniform to compete, my teammates and I look the exact same. My belt is the only accessory that I get to choose. I usually wear a yellow cloth belt with cherries or a leather belt with a beautiful tree buckle that I got at a thrift store.
In a system of capitalism, as people's wealth rises, the financial incentive to serve them rises. As their wealth falls, the financial incentive to serve them falls, until it becomes zero. We have to find a way to make the aspects of capitalism that serve wealthier people serve poorer people as well.
There's lots of interesting jobs in the profession besides acting, and I like to try and keep an eye on and understand other people's jobs, rather than just my own.
This is what I wanted most to avoid: for my rises and falls to become Tobias's rises and falls. That's why I can't let him step in to defend me now.
Many respected economists and statesmen believe our national debt is neither unwieldy nor a dangerous burden on the country. The trouble is that a vast majority of the American people think otherwise.... It violates basic American ideas of thrift and money management. These strong public feelings cannot be ignored forever.
I've said that we're going to produce real results for the American people because so many Americans feel left out and left behind, they think the economy has failed them, they think our government has failed, they can't stand the gridlock and dysfunction in our politics, and I'm determined to produce more good jobs with rising incomes, and deal with all of the concerns that families have about education, college affordability, student debt.
The sea at springtime.All day it rises and falls,yes, rises and falls.
It's not debt per say that overwhelms an individual corporation or country. Rather it is a continuous increase in debt in relation to income that causes trouble.
Normally, the law of nature is such that one who rises falls, and one who rises quickly falls as quickly. I don't know how the law of nature will work as far as Modi is concerned. But some time or the other, all bubbles burst. This bubble will also burst.
All ultimately intermarried to produce a race of many strains, which may account for the paradox that a people famed for stolid, patient, practical common-sense; a nation as Napoleon said, of "shopkeepers", has produced more adventurers, explorers and poets than probably any other in history.
So we are in for years of debt deflation. That means that people have to pay so much debt service for mortgages, credit cards, student loans, bank loans and other obligations
that they have less to spend on goods and services. So markets shrink. New investment and employment fall off, and the economy is falls into a downward spiral.
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