"mccaldwell" wrote in message
om...
You've got it right. For an interesting/sobering read China's
economy vis a vis the US, see Dec. 6 issue of Business Week. Also,
Princeton economist Paul Krugman has been warning about the US economy
mirroring a banana republic model for quite a while now. The main
thing keeping it above water is "faith" that it could never, never
actually collapse. Just keep running up debt.



Well, to argue the complete opposite side of my own argument....I really
don't know if the national debt is good or bad. Really.

For example, when I was in college, signing for a $500 student loan seemed
like the Universe to me, so I was very very cautious about accepting much
debt. Most of my friends, otoh, gleefully signed for every loan that they
were offerred, and spent their college years driving solid vehicles, wearing
good clothes, etc. One buddy even bought several dozen acres of land. Some
of them graduated with $12K, $15K, even $20K in debt. I had only $4K.

Then, through the years I paid off my debts, ahead of time, with whatever
meagre earnings I made doing whatever I was doing. Boating, mostly. Most of
those friends, otoh, deferred their loans, or went on to grad school and
incurred more debts, or paid the minimum amount on a schedule that was due
to repay them in 20 years.

Now, years later, I find that I often carry $4K in debt on my credit card
alone, and easily pay that off monthly. What seemed like an insurmountable
amount of loans way back in college is now such a trivial part of my GDP
that I wish with all my heart that I had taken out every damn penny they
offerred me, and put it in the bank! My buddy who bought land with his loans
is now incredibly wealthy, and most of my other buddies who floated their
huge debts for 20 years ended up paying them off with pocket change, because
their nice cars, nice clothes and penchant for the 'expensive stuff' led
them into a world where they were able to rub shoulders and make friends
with people in high circles, so now they have high paying jobs and lots of
assets.

Me, on the other hand, who always insisted on paying cash for what I got or
paying off my debts quickly, have an excellent (but unused) credit rating,
and not much material goods to show for it.

I'm not at all sure that debt is a bad thing.....

--riverman
(so confused)