If you invest in a business one thing I look at is how much debt they have and compare it with their equity free cash flow and net income. I think it’s important to look at yourself in the same manner. I see people at my job making 30k a year but buy a brand new 100k house and a pickup truck. Then struggle every paycheck. I also think debt and credit is one tool the government uses to keep power over you.
True.
That is the problem with easy credit. More people start buying things on credit and that drives up the prices for everything. Eventually the prices get so high that you pretty much need to buy things on credit.
One of my older friends said his mom and dad paid cash for everything they had. I’m guessing the time period was 1900-1940. And that it was frowned upon to borrow money. Now you almost can’t live without it.
There are a lot of good morals like this that modern culture has thrown away by the wayside…then they wonder why they’re so depressed all the time. A good read, especially to read your kids, if you have any, is “Farmer Boy”, by Laura Ingalls Wilder, who wrote the famous “Little house on the Prairie.” Warning: it will make you want to eat! But it is a story of the hard work of growing up on a farm. These guys were completely self-sustaining, and because of the effort the put in, they ate like kings. The book shows how wealth can literally be grown out of the ground. I don’t understand people who think wealth is something that is net zero…they are so deceived. And what we take for granted these days!
You generally want to avoid being the counter-party to organisations like GS. If they’re selling something, go short.
edit: There’s a funny autobiography from a bond trader called Liar’s Poker. If you want to know what it’s like to work within one of the “big” investment firms, check it out…
[B]DAY 1[/B]
The Germans are about to Commence Repatriating Gold From New York Fed. Looks like other countries are not very confident in America right now.
It Begins: Bundesbank To Commence Repatriating Gold From New York Fed | Zero Hedge
It’s appropriate that this happened right after the New York government just finished urinating all over the 2nd amendment, last night.
Well I may be buying physical gold.
Here is an interesting article on Americans in general… Those who are truly dept free are far and few between.
Why U.S. might be ‘a nation of deadbeats’ - MarketWatch
…And thanks to Dodd Frank, US residents can’t hedge in the spot metal market anymore. Biggest reason I went offshore. The other non-US divisions of Oanda offer Gold, Silver, Platinum, and Palladium directly in all the major currencies. I’m so jealous.
Ok, I’ll go sit on people’s chair now and eat my porridge. Hail, Lord Obama. May he live forever.
Thats a sad truth. However I am one who still pays cash for everything. I owe no one anything 
Just saying there are a few of us left in this world
It’s sad how many people I see always going into the local loan shark office, payday loans, the one where you borrow $1000 and have to pay back $1300, ($300 interest) the next week…or have $30,000 credit card debt, making just minumum payments, not understanding what 24.00% interest means. Microwave society=self destruct society. Patience isn’t just a virtue, it’s extremely rewarding.
What is worse is to see how many of those Payday/Check Cashing/Title loan places are supported by big banks.
And then there are others like Western Sky Loans that are absolutely ridiculous. They pretty much own your soul with well over 100% annual interest rates. They take advantage of being on sovereign land in the US to break every interest law on the books.
Predatory lending at it’s finest
Yes, and what’s sad is the market they have…people actually go to these guys!
I just learnt about seasteading, or the idea of future “floating cities” / ocean-based micronations. It’s an interesting concept. The Seasteading Institute recently received a $1m donation from Peter Thiel, founder of Paypal. It looks like the idea is winning alot of support from libertarians and other business people.
As traders, the idea of a low-taxed floating micronation is extremely attractive. All we need is an internet connection to trade. 
I was just looking at a basically floating island on the web the other day…pretty cool. It is a personal one for sale for $5 million, has solar and wind power, and heating and cooling using heat exchange with ocean water, aerobic septic system that returns water with drinking quality to the ocean, water desalinizer and purifier for fresh onboard water. Here’s the link to the site:
Meh. Target #1 for drone strikes once they are created. Remember, It’s for the children.
I’ll use my fortunes earned from trading to purchase anti-aircraft missles, or something…
It’ll be my own “country” so I’ll decide how to defend myself…impossible for arms purchase to be illegal… (just fantasizing)
That’s pretty neat. Screw the ocean. I think space should be the next frontier
[B]DAY 2[/B]
Now the Dutch are repatriating their gold, most of which is in America. Whose next?
All Aboard The Gold Repatriation Train: First Germany, Next: The Netherlands? | Zero Hedge
Yeah, Also the people that go to places like Rent a Center.
More people need to understand that it is better to postpone instant gratification for future prosperity.