Today the stock market continued its downward slide started on Friday and the Down Jones plummeted by 634 points in Monday's session. As I watched my retirement savings lose value and my time horizon to actually retire extend further out, I wondered, "when will our politicians 'get it'!" We were all subjected to the partisan brawl just a week ago when we were told if Congress did not reach an agreement on raising the debt ceiling by August 2nd, that we would default on our debt,lose our AAA rating from the credit agencies and cause a world-wide double dip recession. Well, we increased the debt ceiling and on Friday one of the credit rating agencies--Standard & Poor's--still reduced our credit rating from AAA to AA+. So much for saving our credit rating.
Now the politicians are lining up to blame each other and denigrating Standard & Poor's actions in reducing our credit rating for the first time in history. Instead of bucking up and recognizing that all parties are at fault, the rhetoric of blame is taking center stage when these politicians instead should be racing back to Washington to buckle down and do something! And, the rhetoric is abrasive, violent-toned and totally self-serving as politicians try and deflect blame in hopes of not losing their seats in Congress during the next election.
I don't know about you, but (no offense to President Obama) I am so weary hearing President Obama speak--he offers nothing but catch-phrases that are designed to make us "feel better" when we don't need a psychologist, we need a statesman. Lest you think I am picking on the President, let me assure you the same goes for both parties--we need statesmen/women to step up and work together, not bicker constantly and create such a political divide that nothing is done about the most important economic issue of our lives. It's like watching children in a sandbox who cannot get along and are constantly grabbing for the shovel and pail to fill up for themselves. Find a way to work together!
We also need to reduce our debt and make the painful cuts that we all know have to come no matter what the parties say. None of us are allowed to live beyond our means and the same is true for government. We have been "passing the buck" to deal with this issue way too long and now we are paying the price through credit rating reduction, an extremely volatile stock market, job depression and generally a fearfullness that is permeating our economy. The one thing that hurts economies is uncertainty and we have that infecting our economic system like it has never been before.
I believe that citizens can "right the ship" if we demand our representatives to quit talking and pointing the finger at one another, get back to Washington right now and start working on the debt reduction. Have the Super Committee that was selected as part of the comprise legislation last week begin work today and move up the date for their report--don't wait until November. And, most of all bring about meaningful budget cuts, create a balanced budget and reform in the tax system.
It is also time for citizens to wake up the fact that Mother Government will not take care of you cradle to grave. We have to take control of our personal finances and stop the self-gratification train that says "when I want it, I have to get it now, even if I have to borrow to get it." That's nonsense and it is that kind of thinking that now has families in a financial bind. Many believe we should "spend out way out of this economic tsunami." I personally think that just exacerbates the problem by getting people into more debt. We have a debt problem in this country and spending our way out of the problem is bad financial planning. We can't do that personally and we can't do that as a nation either.
Are you fed up as well? Then write your representative, senator, and the White House and let them know what you want to see happen. You may not agree with me and that is just fine, but please don't sit back and do the "wait and see" dance. We've been doing that for generations and look where it has gotten us! Be an engaged citizen!
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