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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: shades who wrote (51008)	1/23/2006 4:57:16 PM
From: GraceZ	Read Replies (1) \| Respond to of 110194

Your rent has went down for the same size home You need to read more carefully before you respond. I wrote: >>>If I compute prices based on a percentage of income basis, I spend less on the same basket of goods than I did 10 years ago.<<< This would mean that while my "rent" might have risen, I'm spending less of my income on it. In actuality my "rent" did go down in nominal terms because I refinanced to a shorter rate at a much lower interest rate, yielding a much lower percentage of my payment going to interest and more to principle. Even without that windfall, if I'd kept the same mortgage, the mortgage payment which was set for 20 years would be identical today to what it was back in 1994 when I acquired the property. Since my income has risen with inflation, this would automatically make the payment shrink in percentage terms! As the wealth/income gap widens and many articles have been posted to this topic Written by people who are economic illiterates with a Marxist ideology. how do those increasing poor move up through the quintiles and replicate your success? Can't say how they are doing, but I can say that they are doing it. Americans follow pretty predictable paths through the quintiles as they age. The ones who get stuck in the lowest are usually those on government assistance. Working doesn't guarantee that you get rich, but accepting government assistance guarantees that you will remain poor. Ironically this is the exact opposite of the intent of the proponents of government assistance... or is it?