End of The Rainbow

I'm somewhat amused at all the BS flying back and forth concerning the debt limit. The only way the country will default on loans if the Fed. decides to default.

As with any family, there is a decision about where to put limited revenue. In the family situation food and shelter come first, then the creditors. With a government creditors should come first followed by . . . .

In either case the amount borrowed should never exceed the amount that can be payed back. I have kept out of financial problems by not using a credit card unless we can pay it off at the end of the month. And things like mortgage and car loans are modest enough that they have never put a strain on the family. To some observers I have lived below my means, but that's not the case. They have lived above theirs.

For the last decade(s) the Fed has followed the population in living above it's means. They've been following the rainbow but not to a pot of gold. Instead they've fallen into s pile of shit, just like any rational human would've predicted.

Maybe 20 years ago I told my father-in-law that I'm planning to take care of myself in my old age, and not counting on any help from the government. That there's a good possibility that Social Security and Medicare/Medicaid will not exist. He looked at me like I was crazy. Yep he's a liberal. As recent as a year ago he said that the prediction hasn't happened yet. Looks to me like the possibility is a lot more possible today.

When you Max out a credit card, and get another to help pay the first, only disaster can be the result. That's what the Fed has been doing for a long time. As expected, the result is devastating.

My financial adviser once told me "it's not how much you make, it's how much you spend". The Fed has ignored that for a long time, and now it's dragging the rest of down with them. Those of us still working, our children and our grandchildren will be paying for their obnoxious spending. I predict a second, or even third rate country in the future.