The Economy and the Matrix

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  • 430752
    Senior Member
    • Mar 2004
    • 855
    • Northern NJ, USA.
    • BT3100

    #1

    The Economy and the Matrix

    Maybe I'm way out there, but anyone else see the similarities between the recent goings on in the economy and the soryline from the Matrix movie?

    Huh, you say? Well follow along a bit.

    We're all fuel for other people and other nations to get rich. But we're sputtering along in that role. Some higher-ups decide to feed us easy money and the vehicle used is near unlimited mortgages/home equities. Of course, people question this in the beginning, but the story is told that home prices will all go up, so keep borrowing. We do. We buy new cars. We buy plasma and lcd tvs. We buy designer clothes. We buy Italian Tile for our working class bungalows. We buy steak and veal. We buy and buy.

    Now, this can't go on unless someone buys these mortgages to keep the ball rolling. No problem, since the Koreans are willing to finance this deal so we keep buying their Plasmas and LCD televisions. They're making a killing. The Germans invest so we keep buying their cars. Sales are at all time highs. Ditto for the Japanese, Italians and everyone else. Too bad America doesn't make anything anymore, all the better to use us.

    Because the american consumer is plugged in to this retail milking machine, feeding the bottom line of others. And we're okay with it because we've got Italian Travertine Tiled bathrooms with lcd's built into the wall and a new car in the driveway. And we keep buying the dream and they keep selling. We think we're shiney happy people and they're willing to tell us we are as long as we keep buying. And we're the engine for others benefit, sure we're using up our own economic bodies in the process, but it feels grand.

    See the parallels?

    Then a hiccup occurs, the fuel is cutoff, and because it was so big, everyone is left holding the bag. But we're not done being others' engines. Nope the cycle must continue. So foreign governments complain that they want their money guaranteed, otherwise they'll stop buying T-Bills and other bonds and we won't be able to finance our all time record high enormous debt. And then we'll all be flushed. So, the system (feds) guarantee the other's success and moves to stick it to us, the little engines, by having us pay for it. And we have a choice, if we don't re-up, we're flushed. If we do re-up, well the whole thing will start new again, and we can eventually go back to being shiney happy people driving Priuses and enjoying double organic mocha decaf soy splenda frappacino with only two pumps and low fat whipped cream.



    Yeah, I'm crazy. But the parallels are there. And yes, there were multiple gunmen on the grassy knoll and the Moon mission was staged in a hollywood movie studio lot.
    A Man is incomplete until he gets married ... then he's FINISHED!!!
  • germdoc
    Veteran Member
    • Nov 2003
    • 3567
    • Omaha, NE
    • BT3000--the gray ghost

    #2
    I have to agree with you.

    Reminds me of the classic Carlin routine about stuff: You buy more and more stuff, then you gotta get a bigger place to store your stuff, etc.

    Personally I saw the end coming a decade ago. I was stationed in Germany and wanted to buy a used BMW but decided I couldn't afford it (on a major's salary no less). Then I noticed a whole bunch of buck privates driving around in new 318's and 325's. And I started to read about enlistees having credit problems.

    I'm just surprised it took so long for the side effects of the snake oil to kick in.
    Jeff


    “Doctors are men who prescribe medicines of which they know little, to cure diseases of which they know less, in human beings of whom they know nothing”--Voltaire

    Comment

    • Uncle Cracker
      The Full Monte
      • May 2007
      • 7091
      • Sunshine State
      • BT3000

      #3
      A whole generation has come to ask "What are the payments?" instead of "How much does it cost?"... Very sad...

      Comment

      • crokett
        The Full Monte
        • Jan 2003
        • 10627
        • Mebane, NC, USA.
        • Ryobi BT3000

        #4
        Originally posted by Uncle Cracker
        A whole generation has come to ask "What are the payments?" instead of "How much does it cost?"... Very sad...
        I will admit that early on I asked the first question rather than second. It was no one's fault but my own. It was painful for a few years but I am mostly out of the hole I dug.
        David

        The chief cause of failure in this life is giving up what you want most for what you want at the moment.

        Comment

        • Ed62
          The Full Monte
          • Oct 2006
          • 6021
          • NW Indiana
          • BT3K

          #5
          That's exactly what I was referring to when I started the thread about greed.

          Ed
          Do you know about kickback? Ray has a good writeup here... https://www.sawdustzone.org/articles...mare-explained

          For a kickback demonstration video http://www.metacafe.com/watch/910584...demonstration/

          Comment

          • LinuxRandal
            Veteran Member
            • Feb 2005
            • 4890
            • Independence, MO, USA.
            • bt3100

            #6
            Originally posted by Uncle Cracker
            A whole generation has come to ask "What are the payments?" instead of "How much does it cost?"... Very sad...
            I had a friend selling a used vehicle a few years back. 67 or 69 Chevelle. I couldn't believe the number of calls he got that asked what were the payments.

            Also saw people come in and want to get their cars fixed, when I worked at the garage, and then started asking about payment plans ($5 a week was the one we heard most often).
            She couldn't tell the difference between the escape pod, and the bathroom. We had to go back for her.........................Twice.

            Comment

            • Alex Franke
              Veteran Member
              • Feb 2007
              • 2641
              • Chapel Hill, NC
              • Ryobi BT3100

              #7
              Originally posted by LinuxRandal
              Also saw people come in and want to get their cars fixed, when I worked at the garage, and then started asking about payment plans ($5 a week was the one we heard most often).
              Wow... that's alarming... I think way too many people are addicted to credit.

              I'm also surprised to hear about how few people actually save for retirement, and how late they often start. They should really start driving this stuff home at an early early age.
              online at http://www.theFrankes.com
              while ( !( succeed = try() ) ) ;
              "Life is short, Art long, Occasion sudden and dangerous, Experience deceitful, and Judgment difficult." -Hippocrates

              Comment

              • Gator95
                Established Member
                • Jan 2008
                • 322
                • Atlanta GA
                • Ridgid 3660

                #8
                Imaginative analogy- where I think it falls down is that the Germany and China didn't do this to us, they were just enablers for us to do it to ourselves.

                Used to live in California, and the bidding wars for houses in the 1998-2005 era were insane. We put in an offer for $425,000 on half of a duplex listed at $410,000 in the day it was listed and we were outbid by 20K- it sold the next day. The reason this could happen is that cheap credit fueled by creative loans enabled folks to bid higher and higher on homes... and this created its own inferno because the result was that home prices kept going up. We wound up never buying a house out in Cally and moved to Atlanta. My wife and I were mocked by many of our friends for not taking the plunge and bidding whatever it took since 'all you had to do was get in the market'.

                Never made sense to me how prices could go up 10% per year over a decade when wages went up 2-3%. Now we know how.

                No need to look for a conspiracy outside the US. We did this to ourselves IMHO.

                Comment

                • AusRob
                  Forum Newbie
                  • Jun 2008
                  • 46

                  #9
                  I think you also need to remember that America has been very good at outsourcing a lot to countries such as China and India. Yes we all keep buying and expect that prices will be cheap, but we're not willing to invest in keeping jobs and money within our own countries. (Yes this is an international problem.)
                  Here in Aus, you can go out and buy a hardwood table and eight chairs, along with a Sideboard, bedhead and chest of drawers for A$2000.00. All built in China from Australian timber. I couldn't make the table and chairs for that!
                  Its time that people looked after each other and are prepared to forego cheap prices ( and therefore some things that they think they need) in the interest of a more resilient local economy. No need to blame other countries, they just do what we let them.

                  Rant off!

                  Regards,

                  Rob
                  http://www.dam%6efinefurniture.com/

                  Comment

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