Nice interview Posted by Djehuti (Member # 6698) on :
^ Seriously this thread belongs in either the politics section OR the economic section of the forum.
Posted by meninarmer (Member # 12654) on :
Arwa understands responses are better in this section then in the political section. Anyway, the article is incomplete.
Two methods of obtaining or building on wealth. (1) Salary In which case if you are paid in US dollars, you earn less when the dollar is down. (2) Investments Assuming you are already wealthy, investing grows this wealth, and wealthy people tend to invest in markets not always tied to the dollar. Not to mention, wealthy people can afford good accountants and avoid paying their fair share of taxes. Ultimately, wealthy people still prosper in a weak economy. The poor and middle class will bear the blunt of the pain.
Posted by Heru-Behutet^*^ (Member # 11484) on :
^ I haven't looked at Arwa's link so no comment on that, however, I do disagree that a Salary is a way to to build wealth. Nah, that's more like chasing a carrot on a string while on a treadmill. If you follow the salary route, you will slave all your life only to find out at the age of 70 that your pension is non-existent. There are a few exceptions of course. If you can work yourself up to senior management levels (i.e. CIO, CTO, CEO e.t.c), then you might be able to build SOLID wealth from the salary. But most people don't have a choice but to get a not-so-lucrative salaried job so what to do? Well, save your money, which brings us to your second point.
Investment, yes, no matter how much money you have, investing in things of "real value" like property or commodities is the common sense thing to do since humans have being building wealth using this method for thousands of years. Why do you think Egyptians stashed gold in their tombs? However, do not confuse real investment (which is really saving) with gambling (i.e buying stocks etc). You can gamble and win big, but you can also lose everything you've got. That isn't investment.
Posted by Heru-Behutet^*^ (Member # 11484) on :
^To top that off, understand that keeping your money in "cash" is not so different from owning "stock". Owning stock is not so different from owning cash as it is valid only as long as the issuer stays in business.
So, for example, if Ron Paul won the election and sticks to his guns about getting rid of the FED, then I'd strongly suggest you get rid of all those worthless paper certificates (dollars, that is) and get something that is issued by The Creator - that is, the currency/certificate that never goes out of business i.e. precious metals, raw materials and other valued ( securitized, that is) commodities.
Posted by meninarmer (Member # 12654) on :
^This is true. It would also eliminate the credit rating system as well as the present banking system.