Wow that's a very interesting video. I think it proves two things. First 90% of people don't know what they're talking about. Second most people who ridicule other people when future speculation is involved are part of that 90%.
I remember thinking after 9/11 when the FED started lowering the interest rates "What the f*&*???"
I remember remarking on more that one occasion that the only thing that such dickering of the FED would do would be to jack up home prices, and then a year later we started seeing the jackup here in Texas.
I would not have even thought of these things had I not, many years earlier as I was trying to educate myself, read Adam Smith's Wealth of Nations and recalled what happened with the inflation that came with the "easy money" that the Spanish Crown was bringing home by the boatload.
I purchased my first home last year. I put 20% down (thus avoiding the Mortgage Insurance). I had saved every penny of that 20% over the last four years. The most interest that money ever made while I was saving it was a pitiful 4.5%. And yet all the while, you could buy a car at 0% or a house with next to nothing down. And we wonder why people spend money like crazy and don't save? The FED by setting the interest rates so low over such a long time created a big part of this problem in my opinion.
3 comments:
Wow that's a very interesting video. I think it proves two things. First 90% of people don't know what they're talking about. Second most people who ridicule other people when future speculation is involved are part of that 90%.
RKL
It is interesting isnt' it.
I remember thinking after 9/11 when the FED started lowering the interest rates "What the f*&*???"
I remember remarking on more that one occasion that the only thing that such dickering of the FED would do would be to jack up home prices, and then a year later we started seeing the jackup here in Texas.
I would not have even thought of these things had I not, many years earlier as I was trying to educate myself, read Adam Smith's Wealth of Nations and recalled what happened with the inflation that came with the "easy money" that the Spanish Crown was bringing home by the boatload.
We are reaping what they have sown.
I purchased my first home last year. I put 20% down (thus avoiding the Mortgage Insurance). I had saved every penny of that 20% over the last four years. The most interest that money ever made while I was saving it was a pitiful 4.5%. And yet all the while, you could buy a car at 0% or a house with next to nothing down. And we wonder why people spend money like crazy and don't save? The FED by setting the interest rates so low over such a long time created a big part of this problem in my opinion.
RKL
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