[quote=SD Transplant]Another reality I caught in the media is that savings rates are low. Well, savings isn’t encouraged by our FED, the savers are punished.
– How did it work out for the folks that saved cash for a full 20% down payment for a house……not so well (specifically when looking at 2012 or 2013 data……). They will never catch up.
– Inflation……yeah, we know how that’s going
People may save in retirement like accounts, the rest of the cash if it still sits idle will buy a loaf of bread in another year. There isn’t a way for a regular consumer to win here. BORROW to the hilt is the name of the game….boom times here we go again “YES, it is diferent this time.”[/quote]
ITA.
Unless the Fed stops manipulating markets (ha!), savers are the ones paying for all the bailouts. Not only are they getting nothing on savings, but they have to watch in horror as prices continue to go up on all basic necessities, crushing their purchasing power by the day.
It’s easy to see why everyone is trying to get into the “investing” (asset price inflation) game…it’s the only game left in town.
