Tuesday, December 23, 2008

In the latest from JHK

this: "What seems to spook people now is the possibility that everybody in charge of everything is a fraud or a crook." James Howard Kunstler's post for this week is entitled: Legitimacy Dwindles. Rho00245

4 comments:

Loren said...

What spooks me is that people seem to think those in authority can "solve the problem" while it seems to me that people's greed is the real problem, and there's too little sign that any leader has the courage to argue that (probably because they have so much more than the people they are leading).

brian a j salchert said...

True. True.

Still, controlled greed can be good.
I learned the hard way that
I could have attained wealth
while remaining within
my meager means,
but I fell into the
gotta-have-it-now trap
during the more than ten years
I was in the market.

I've written a booklet about it
I may someday update and place
online.

That some managers of billions of dollars
fell into the
get-it-any-way-you-can trap
is the saddest result.
That result, however, is likely
to move people back towards
saving and living simply.

My main reason for seeking wealth
was my desire to pass it on to others, but to others I chose to
pass it on to. I had no intention
of living the so-called high life.
Doing that would have put me way
out of my comfort zone.

As to those who govern us, our
republic's great weakness is that
without money it is next to impossible
to become elected to the premier state and national offices.
-

Thanks for visiting, and commenting.
I have been visiting your site,
but haven't been able to come up
with something to say.

So, season's best to you and yours.

Loren said...

I have limited funds invested in mutual funds, more as an inflation hedge than anything, but they, too, have taken some hard hits lately.

I guess I can hope that our current "non-Depression" will continue to hold inflation in check.

brian a j salchert said...

Now you're leading me into sticky
territory. A lot has changed in the last ten years. Those who think we are heading into the worst depression this nation has ever seen say that once this credit debacle deflationary period passes/ hyperinflation will set in. Yet, so much depends upon what the federal government does in the meantime. If you have at least $5000, there are excellent ETFs (exchange traded funds) on the AMEX Exchange. I don't know how many there are, but they cover a wide range of needs. Some analysts say these funds are better than mutual funds. Bear markets are trickier than Bull markets. Right now it's moving sideways, but it could test its low in 2009, and it could drop lower. [ The mutual funds you are in may be fine. ] I've read that the GLD ETF is a good one to have some money in, especially if that commodity seriously reasserts its climb. However, it appears that the reason Obama tapped Paul Volcker is the worry about inflation. Volcker successfully fought it under Reagan by raising interest rates, but that action made it difficult to borrow money and thus hurt many small businesses both directly and indirectly. Had I been in the position to, I could have made money in November and this month on a stock which was trading between $2 and $3 dollars and has recently been above $3.50, but in general it's too hard to pick a stock in this market that's going to keep edging higher. One hedge fund manager made lots of money by going short Fannie Mae and Freddie Mac well before they collapsed.

Babble, babble.