Searchlight Innovations Inc T.SLX

RE: RE: the china syndrome

[fabdaq]

"Get used to it".................I know by most of your post you don't really mean it like that.  But it is scary indeed.  Capitalism bit itself in the A$$.  Our unionized friends kept pushing the envelope and kept getting higher wages.  Companies naturally went overseas looking for cheap labour, so the third world got state of the art brand new plants and built our products to be bought by us and we are at a point where unions are taking less to just have a job while the third world starts the uptrend cycle we once enjoyed.  It's not so much that capitalism bit itself in the butt, but rather the natural progression of corporate greed and the bottom line.  Our only chance now is to profit off their up and comingness through the markets (for big money returns).  I believe this is a once in a lifetime chance to really make big bucs if you are lucky enough.  But the debt issue is what can kill us too.  How do we handle it?  When interest rates go up your $400 a month car  will be in the 500-600 range.  Alot of young people who are financing houses will 300k (& more) mortgages will face renewal costs well in excess of what they are now paying whcih will lead the housing market and the value of their homes to depreciate to the point where the mortgage is worth more than the house (like in the U.S.).  In that scenario it might best be to walk away.  This is not happening as much in the states now due to the ridiculously low interest rates.  BNN ran my email (surprisingly basically unaltered) when I commented on howard greens interview with the BOC govenor who was warning us about consumer debt level and the coming rise in rates.  I advised that this would be a devastating scenario and that rates should remain where they are at until we somehow figure it out.  Lucky I am debt free in a month and a half as my mortgage is finally done.  glta!!