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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: maceng2 who wrote (37562)	8/30/2003 3:10:16 PM
From: EL KABONG!!!	Read Replies (1) \| Respond to of 74559

Hello again, Pearly, For a lot of people, their ability to earn money with a job is reducing. That sounds suspiciously like you're allowing for the possibility of one using accumulated debt for normal living expenses, or (as an alternative) using the accumulated equity (say in one's home) for normal living expenses. I would think that either choice is a choice of last resort, to be undertaken for a very short period of time only, and only if one can escape or avoid the ultimate end game of losing everything should one's circumstances fail to improve. Debt is insidious in some ways. I find it rather peculiar that people will look at money earned in investments as a "positive", yet will scoff at the same amount of money saved by not paying a lender interest. The interest savings is not only non-taxable, it's risk free return when compared to other "investments". I would also think (caution?) that people who find themselves in such dire financial straits that their source of income is seriously imperiled, should not be risking whatever financial resources remain in the markets (stocks, bonds or real estate). The presence of risk factors in any market, combined with the likelihood of making poor financial decisions under desperate financial conditions creates the perfect environment for a potential financial disaster (for most "average" people anyway). Just my opinion, though... KJC