-- CREDIT--

[poddster]

If all your credit cards, loans, and mortgage were called in and you had to finalize them all  by the end of  the financial year (30th June) where would that leave you and what would you do to pay your debt? 

[cherry*135]

That is not reality.

[poddster]

That IS reality, the reality that no one wants to see or admit.

[debra9275]

The reality is if there was a crackdown on cheap labour and 457 visas, more Australians would have jobs and be paying taxes

[poddster]

Debra you are skirting the issue and evading the question I have put.

What makes you think that higher wages  would solve the credit debt?

[debra9275]

I'm not skirting the issue, I just didn't see the point in answering. If we had to repay our debts by june30, we could do it, no problem


I said more wages to Australians rather than lower wages to foreign workers, Australian'swould pay tax and spend back money back into the economy. The money would stay in our economy instead of going OS

[poddster]

saau, you would be among the very few who could do that but of the rest ?

and don't forget that you have a debt that was incurred on your behalf by the government

[i-need-a-martini]

A single individual holding all the debt is not the reality.

As a hypothetical, if you applied your question to an entire block of households then it might be closer to the truth. And clser to how a countries economy is run.

For example, if a suburban block (say there are 30 households in an average block) in a relatively well managed and semi affluent suburb shared their income and debt then your question is getting closer to the mark.

In this case there would be a lot going on in that block - one person may be spending too much; another person was producing products that sold well; another was managing his money poorly; yet another ones income for services went up considerably; one persons business was going badly; another persons was booming etc.

But because their finances are grouped and circulate within the block then their mini economy has nothing to worry about. They don't have to pay off any debt because they are in a financially safe place and there are enough factors to keep them afloat.

The only thing that can burst their bubble is if external factors become an issue but as long as they are strategic, then they should ride out any external factors with a few bumps along the way. Or another issue might be if the group gets scared and collectively stops spending (circulating the money) then they are doomed.

The same principles apply to a country and it's economy.

[poddster]

Deb where are the "more wages" going to come from?

[debra9275]

The jobs given to Australians instead of temp. Overseas workers lol

That would benefit our whole country rather than just a few big businesses

[poddster]

martini this hypothesis is not about repairing the economy for the future. It is about a debt that will be called in is 30 days.

and it is individual and specific.

What would you do and the people around you do?