Monday, August 15, 2011

Economics 101: The Basics

Basic laws of economics:

1. Often people can't afford mortgages for good reason, so respect that reason and don't give them one if they indeed can't afford it.

2. If things can't go on forever, they won't.

3. TANSTAAFL (There Ain't No Such Thing As A Free Lunch).

4. We're painfullly aware that the dollar is made of thin air; don't rub our nose in that fact or we'll start behaving accordingly.

5. Cell phones and very large flat screen TVs are not a civil right and don't tell us they are.

‎6. Credit cards and equity lines-of-credit are how the consumer becomes the consumed.

7. "Mink stole, $5000.00. A large diamond ring, $3000.00. A perfect and romantic dinner for two, $350.00. Forgoing all this unnecessary bullshit and watching a video at home on your anniversary and keeping your credit card balance at zero: PRICELESS."

8. If you're not underwater you are either blessedly fortunate or a renter.

9. A paycheck that clears the bank on a regular basis is a very good thing.

And 10. TANSTAAFL. (I know I used that one before. I say it again.)

‎11. Borrowing from the Chinese is a good idea, if the Chinese are a capitalist country and your most important mutual trading part and primary military ally. If these are not so you may wish to reconsider.

12. Making a guy who can't handle his own taxes Treasury secretary may not be a really good idea.

13. You can adopt policies that discourage people from reproducing themselves, but if you do throwing out the resulting foreign born workforce may qualify as mindbogglingly stupid.

14. When you start seeing legal professionals on freeway ramps holding up signs reading "WILL LITIGATE FOR FOOD" you probably have entered a double dip recession.

And 15. TANSTAAFL.

‎16. Just because it was mentioned in some context of an Ayn Rand novel doesn't means it makes the remotest bit of sense. (A lady who had herself buried in a coffin with a dollar sign on it instead of a cross had SERIOUSLY frakked-up priorities.)

17. The amount of extracted gold on the planet doubled since 1900. In that same period, the world population increased 7x. This is why a gold based currency is so bone-in-the-nose primitive that it should not be considered by grownups. (And don't even get me started about a gold-and-silver bimetallist approach, which is even stupider.)

18. Eventually, if you want your government to give you stuff someone else will have to pay for it. Sooner or later.

19. Taxation is theft with diplomatic immunity and should only be engaged in for life-and-death purposes.

20. TANST...well, you know.

1 comment:

  1. All very true Rich, debt and it's acquisition spells the end of freedom for any person, anywhere.

    ReplyDelete

Keep it clean for gene.