Comments on: Get Out of Debt and Sink the Economy? http://moneysmartlife.com/get-out-of-debt-and-sink-the-economy/ Money Tips for a Better Life Sat, 21 Nov 2009 13:21:41 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: No Credit Needed Podcast » Blog Archive » Carnival of Debt Reduction Podcast Edition : Personal Finance Podcast About Debt Repayment, Debt Reduction, and Saving Money http://moneysmartlife.com/get-out-of-debt-and-sink-the-economy/comment-page-1/#comment-650 No Credit Needed Podcast » Blog Archive » Carnival of Debt Reduction Podcast Edition : Personal Finance Podcast About Debt Repayment, Debt Reduction, and Saving Money Mon, 29 Jan 2007 13:55:02 +0000 http://www.moneysmartlife.com/2007/01/26/get-out-of-debt-and-sink-the-economy/#comment-650 [...] Money Smart Life wonders what would happen to the economy if everyone lived without debt. (My answer? In the short term, it would be a bit bumpy. In the long term, it would be awesome.) [...] [...] Money Smart Life wonders what would happen to the economy if everyone lived without debt. (My answer? In the short term, it would be a bit bumpy. In the long term, it would be awesome.) [...]

]]> By: moneysmartz http://moneysmartlife.com/get-out-of-debt-and-sink-the-economy/comment-page-1/#comment-628 moneysmartz Sat, 27 Jan 2007 19:00:21 +0000 http://www.moneysmartlife.com/2007/01/26/get-out-of-debt-and-sink-the-economy/#comment-628 CreditShack, sometimes I forget sarcasm is lost in the written word, too bad there isn't a <sarcastic> tag in HTML :) I agree, my "proposed" Debt Savings Plans would foster poor money management. We can help our neighbors prevent sliding into a debt coma by giving advice much more easily than we can help them cure the debt disease once they've caught it. CreditShack, sometimes I forget sarcasm is lost in the written word, too bad there isn’t a tag in HTML :)

I agree, my “proposed” Debt Savings Plans would foster poor money management. We can help our neighbors prevent sliding into a debt coma by giving advice much more easily than we can help them cure the debt disease once they’ve caught it.

]]> By: CreditShack http://moneysmartlife.com/get-out-of-debt-and-sink-the-economy/comment-page-1/#comment-608 CreditShack Sat, 27 Jan 2007 00:43:04 +0000 http://www.moneysmartlife.com/2007/01/26/get-out-of-debt-and-sink-the-economy/#comment-608 You're absolutely right about how consumerism drives economic growth. If people quit spending, the economy quits growing. I think your Debt Savings Plan, despite the charitable intentions, would be a disaster because it creates incentives for people to get into debt. Why live within your means when you can count on free dough from the "Joneses" next door? If they're getting into debt already WITHOUT incentives, imagine how bad it would get WITH incentives. Instead, how about a charitable (i.e. administered privately, not by the government) gifting system that allows others to supplement the earnings of the working poor "Joneses" next door, much like companies match 401(k) contributions? This would not subsidize bad behavior. You’re absolutely right about how consumerism drives economic growth. If people quit spending, the economy quits growing.

I think your Debt Savings Plan, despite the charitable intentions, would be a disaster because it creates incentives for people to get into debt. Why live within your means when you can count on free dough from the “Joneses” next door? If they’re getting into debt already WITHOUT incentives, imagine how bad it would get WITH incentives.

Instead, how about a charitable (i.e. administered privately, not by the government) gifting system that allows others to supplement the earnings of the working poor “Joneses” next door, much like companies match 401(k) contributions? This would not subsidize bad behavior.

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