Borrowing and debt: perspective.

[growler_south]

I just took a $6k loan to consolidate my various small debts. It'll make my repayments easier and give me a little more financial flexibility (read: spending money) but it stil seems like a lot. Until I found this wee gem:

President George W. Bush and the current administration have now borrowed more money from foreign governments and banks than the previous 42 U.S. presidents combined, which the Blue Dog Coalition in the House of Representatives called “astounding.”

Throughout the first 224 years (1776-2000) of our nation’s history, 42 U.S. presidents borrowed a combined $1.01 trillion from foreign governments and financial institutions according to the U.S. Treasury Department. In the past four years alone (2001-2005), the Bush Administration has borrowed a staggering $1.05 trillion.

“The seriousness of this rapid and increasing financial vulnerability of our country can hardly be overstated,” said Rep. John Tanner (TN), a leader of the Blue Dog Coalition and member of the House Ways and Means Committee. “The financial mismanagement of our country by the Bush Administration should be of concern to all Americans, regardless of political persuasion.”

Abandon ship! She's goin' down!

Comments

[lumberjackie-o.livejournal.com]

we're all welcome there, then, i take it?

in utopia?

[pa747sp.livejournal.com]

You know the old saying. When you owe the back $1000, you have a problem. When you owe them $1 trillion, they have a problem.

Of course, Bush's borrowing will affect not only that minority of idiot Americans who voted for him, but most likely everyone else in the world.

[mikeybill.livejournal.com]

So you're shouting drinks on Saturday at Urge then? Cool !!!

[daltxfurry.livejournal.com]

I so need to move to another country....any suggestions? Where can a husky guy like me go and find a nice place to live?

[querrelle.livejournal.com]

Point taken, but it sounds like a straight comparison of unadjusted dollar amounts, without accounting for the diminution of purchasing power with time. Even relatively low rates of inflation can have a huge cumulative effect, even over periods as short as 20 years.

[musclebearnz.livejournal.com]

No worse than our idiot, robbing from everyone and giving to the useless...

borrowing and debt

[orsman01.livejournal.com]

well, it's still not enough to buy a fat-arsed, blue American car (it is WAS for sale, that is) but it's good to see that you've taken the headache out of your pernicious pecuniary problems! ;-)

[orsman01.livejournal.com]

must get a photo attached to this (somehow???)

Can I move please?

[auxugen.livejournal.com]

I wanna move...

[sinnabor.livejournal.com]

I'd just say make sure you don't use your refinancing to dig a bigger hole. Pay down the debt. But I'm being a financial mom here.

$6k NZ doesn't sound like that much, really. That's like $4k US, and the average US credit card debt is $8k. Of course, the US is crazy. We're in negative savings rate territory.

Debt scares me, and I've almost never carried any. Then again, my 20's were really boring.