You sir, are a one man propaganda machine. Baghdad Bob would be proud.
Either that or they are being prudent, not want to risk their money while Obama/congress could do more stupid shit.
Actually the dude’s got a point. Interest rates are so low we can safely ignore compound interest.
If the money were idle, we most likely would not have the problem. The money isn’t idle, it is making more money. I’ll type slower, if that will help.
The point os not the amount of the interest, but that any money you or I park in a bank or brokerage account earning even measly interest is put to use elsewhere. Whether it be in the form of mortgages, small business loans, big business loans, etc.
You would think this would be true, but it’s not. You would be surprised how fast you can fuck up a fortune. There’s been a study of lottery winners. Most of them go broke pretty quick.
So, stupid money disappears real quick. Preserving capital is not easy.
What?! If the money was idle, like being stored under a mattress, that would HELP? And it what contorted world is money earning interest a bad thing?
As far as typing slower, I think you should. Cut it back to perhaps a post or two a year. That way you’d have time to read and learn something. Either that or go fail on the comedy circuit and spare us your lameness here.
Which is why they hire professionals. A highly educated servant class, to preserve the money. You may even know some of these people.
It certainly is informative. I still think most Americans are pretty decent, though.
I’m one of them.
Trust me, you cannot underestimate the power of stupidity. MC Hammer? How do you screw that up? It’s a super common story. In order for those Advisors to help preserve a fortune, they need to be competent, and the advisee needs to listen to them.
So no, the tendency of those with money is to lose it.
And those that don’t? Who don’t fuck it up, what happens to that money? It grows, yes? Like a giant golden tumor, gets bigger and bigger. Best thing they can do is nothing, right? Hand it all over to guys like you, who get a little slice of the action, a slightly bigger slice if they are good at it. You said it yourself, in tones of aggrieved self-righteousness, you worked very hard, hundred hours a week, to get in a position of servitude.
I might wish they were grateful, but most likely they don’t care if you live or die, there’s another bright young Scylla coming out of school right now. If you die, or find Jesus, or just say, fuck it, I’m going fishing… All the same.
Yeah, so…
You don’t love me either. If I go away, you’ll just argue with somebody else.
If your point is that a reasonably smart very rich person will likely get richer, than yes, I agree.
He doesn’t even have to be smart! His grandfather was smart, he can hire smart. If he meddles, he will likely fuck it up. It is the only situation where indolence and sloth makes money. Lots of it!
The fact it’s understandable doesn’t change the fact it’s labeled “Share of National Income” and not “Change in Share of Income”.
Sometimes this is true. Sometimes this is not. With the degree of cash-hoarding we are seeing in the current economy, the money is NOT being invested with any degree of good-things-doing.
We’ve also proven (2008 is my cite) that money can easily be invested in idiotic things like Credit Default Swaps and synthetic CDOs, which then lose fifty trillion in value in a year.
No, thay are doing that less and less. Today, banks are not so much in the lending business as they are just parking their excess reserves at the Fed and collecting interest. Ask Scylla, he will confirm that.
Banks, as with most business, are in a recessionary, almost bunker mode right now due to uncertainty with the economy and the political situation. They aren’t loaning a lot of money or wanting to incur large risks, and instead are going with the safe bet, even if it means less profit. My guess is Scylla is not going to agree with your spin on why banks are doing what they are doing, but I could be wrong.
-XT
Being smart enough not to fuck up a good thing, is pretty damn smart. The urge to take charge and meddle, and sacrifice long term planning for short term satisfaction is almost irresistible.
Bullshit. Why is the biggest predictor of a child’s future how much money their parents have in America if this is true? Wealth begets wealth except in a few rare cases where people are morons. You cannot convince anyone who is not an idiot that being rich and staying rich is hard, so sorry.
You’re right that the banks are not lending the money out as easily as they used to, but I was not making a point about what the banks might be doing right now, but rather, I was countering a point about the power of money put into an account by an individual. Just because he let’s it sit fairly idle, earning a pittance (these days), doesn’t necessarily mean mean that that money isn’t being put to good use elsewhere.