try and have no debt asap or sell asap, page-13

I am always the odd one out on this subject it seems...

so, I take the opposite view to the heading.....debt is good...if you have it, mortgaged or borrowed against, an appreciating asset, or are running a business...
or whatever....

I have this nagging thing at the back of my mind....
will all the 'so called' sophisticated countries, with really bad presidents or rulers, the new age type, spend today, cause they will not be around to pick up the pieces tomorrow types....they will not be in office, to worry about how to pay it back...restore the Balance sheets...

kevin rudd and wayne swan were soooo irresponsible....gillard, rudd and swan ...whole team are still borrowing like there is no tomorrow

all those banks in Europe, the US and our banks, printing money by the billions.....
that practice of, making money out of thin air....means to me, my understanding, that money is cheap, it is not worth its former value....
the dollar value is devalued....you need more of this 'money from trees' to buy the same old goods...

which in turn should make existing goods more expensive...
or assets that appreciate with age....like houses, roads, infrastructure etc....
those items were made, created when the dollar was worth a dollar....

*****the value of one dollar, one hundred years ago, has been devalued to be worth only 5 cents today....
that is why it appears to cost so much more today...compared to the cost 100 years ago, or 20, or 10 years ago..

but the throw away type goods...like the tech stuff, or tv's etc that become obsolete within a couple of years....
appear to be cheaper...
but truth is , they have a shorter life...

your fridge or washer today will not last 40 years, as in the good old days, they are lucky to last 5 years...
but cost a heap more than the good old days stuff...

hence my attitude, that houses will not go down in price...in fact they will go higher....
all those billions of dollars, that appear to grow on trees...are constantly devaluing the existing dollars....

so my thinking...that situation should create hyperinflation...rather than devaluation of assets....
which is what the bears are wishing for....
it appears to me....you cannot have a free money printing press....and corresponding assets devalued....
it is the exact opposite result...

another way to look at the situation is as follows.......

if money is removed from circulation...and less people have money available, or to spend....what do you believe would happen.....would mud hit the wall...and everything became cheaper...?
not likely....bollocks, bonkers etc
it would have the opposite affect

hint....the banks stopped lending to small business, property developers, builders etc....all the people who generate the most employment in australia....small business are the biggest employers....and they are closing down in droves....
the banks stopped lending to them in 2007....its now 4 years later....some have hung on....borrowed from friends and family, used all their savings....almost nothing left in the kitty now...
and the banks are still not opening their vaults....

*** the pretence that banks are making home loans easier today is a fallacy....
what the banks advertise they will do for you...is very different to actually sitting down with a banker to arrange a home loan.....
the other tricky thing they do is....you say you have your heart set on a house on the market for say 400k's....thats at a 20% discount to the advertised price of the house....the banker sends out a valuer, that states the house is only worth 350,000 (valuers are scared of litigation , so they will say the value is much lower, to protect their butts, not yours)
so the banks is only prepared to lend you xxxxxx amount of dollars, towards that house...so you need to come up with a much higher deposit..... in this example...you need to find another $50,000....if you dont have it....you dont get the loan.........
see how they tricked you...but they have done nothing wrong....
for all intents and purposes...their advertising is not wrong....but you got suckered into thinking....it was still 'easy money' out there on main street...

see...a gotcha moment...

all that free money being printed world wide.....is not going into circulation.....its there to repay huge losses...to bolster the balance sheets...nothing more....
to make the banks, eg; Greece as a country...Balance Sheet look good...it will not be paying wages,,,and so circulate...back into the community...it will sit there, looking pretty...but still worthless....

comprehend ?
I will be interested in feedback, responses....but not if it is all thumbs up....cause then I will know...they are just cute one liner 'narkers'