I am no expert in any field and yet I feel fairly qualified to question some things surrounding our current economic situation. I will tell you my reasoning for this. First off, I have some significant questions that are not even touched upon by the mainstream media. I think they are logical and the fact that they are not addressed in even a cursory way should concern us all. Second, I have put some efforts into trying to digest much of the information that is presented. Third? There is a third and I believe this is critical. I believe that even people who are very poor in mathematics or handling money, or politics can and should be able to understand much of what is out there. I find that there is this myth that its all too complicated your average joes just cant get it. I hope to debunk that through a series of blogs. I will concentrate on one point tonight.
A scary concept that is part of the new worldwide economy. That concept is that credit is the lifeblood of an economy. On this I mean only to question this and let your decide for yourself.
1. Credit defined-An arrangement for deferred payment of a loan or purchase: there are several definitions but I believe that this is they one that they are using when saying this. In other words they ability to borrow money and set up an arrangement to pay it over a specified period of time(key for later information).
2. What is actually meant here is that mainly large companies are having trouble getting short term loans. This is the first sign of credit problems. Why should this concern us? Well Large businesses are good for their loans so if they arent getting loans it causes issues first because they are used to doing business with these short-term loans but more importantly we must see the reasons for this. The reasons are that the lending agencies are having a shortage on Liquidity(available cash). They cannot make these short term loans because if they do that money will be tied up for a short time and during that time there is a danger that too many people will withdraw in some way too much money. I can explain this much further but the key is...this is considered the tip of the iceberge as far as credit issues.
3. This is my key and I think that although people know this they dont place proper importance on it. The issue? Lending Agencies are facing serious issues or are actually going out of business. Why doesn't the media talk about this as the real problem? I think its because it doesn't fit with the big businesses are evil mentality that many want to tell themselves. You see if a lending agency is having to declare bankruptcy that means that they are not making money. This is one of the secrets to understanding the problem. Lending agencies are companies like any other and they must make profit. If they are not something is wrong. I will attempt to address this in my next blog.
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So glad to see you have this blog! Is this Jonathan or Micah?
I agree with your article. To my shame I just recently became interested in politics. Back in '08I wanted to know who this republican was I was voting for and so I listened to alot of conservative talk radio to get a better idea....and while I dont agree with an awful lot of what McCain believed I definetly have no aligning with the democratic/liberal party. Anyways, I am glad to see you have a blog from a Biblical and conservative point of view!
Here are some thoughts that came to mind while reading this:
Big Lending Companies - We have tossed democracy out the window and gone with a more socailist idea. M. Thatcher said "The problem with socialism is that you eventually run out of other peoples money." None of these big companies seem to see this, although they have NO funds, they are being bailed out because the mom & pop business'(that actually stick by the rules and try to help people have a loan and make sure they pay it or deal with the consiquences) will not yeild to the governments demands.
Credit - It is wrong to rely on credit as much as we do, but unfortunately as I have come recently to understand, (with trying to purchase a car with no credit line) is that you can purchase nothing unless you have the full amount in cash or great credit. And there is literally no way around it, I have tried to find one.
Everyday people - I couldnt agree more, the average Joe and Jane have no idea what is going on because the gov. ends up treating us like children that are to little to understand Washington, patting us on the head, claiming they will "take care of it" and sending us on our little way while they pass bills that they promise will "bring change". Which leads me to the thought of, since when does the government control what we do? Last I checked the constitution says that the government is pretty much the peoples employEE and we the people are the employERS. Since when do employees tell employers what to do? The gov. is also way too involved with the people and way to comfortable with it. We have come to depend on them too much and have now put them in the control position.(Maybe some of our fellow conservatives are right, get ready for another Boston Tea party...lol.)
Media - These days media is so left wing that I can't stomach to watch them. They have no desire to hear wholesome words. Which just reminds me of Romans 1:22"Professing themselves to be wise, they became fools," They side with government, as long as it's liberal, and have no desire for truth.
Ok, well I have rambled on enough. Hope your doing well, thanks for this blog!
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