How to slash the budget?

[Anonymous]

Anonymous wrote:I hear you. I also feel bad though for all the restaurant entrepreneurs, the cleaning ladies, the hair stylists.... we are all cutting things we can live without. But these service providers can't live without us This lowering tide is sinking all boats!

One thing I have done, I have pretty much only purchased milk and fresh fruits lately. I am using up EVERY thing in my pantry. The only other stuff I buy is on sale - Shoppers recently had spaghetti sauce for $1 a jar! So I bought as many as I could fit in the pantry.

My solution to the economic crisis? The housing plan should invite EVERYBODY to cut their mortgage payment (not principal) by 1/3. Then they'd have cash to keep their fellow citizens employed. And they could keep their homes.

But the banks will never go for it. They need to make budget on those gazillion dollar bonuses after all.

Yes, all of this frugality is what is bringing the economy to its knees. It started with housing and now it is an downright panic.

The 1929 brought a run on the banks, 2009 will go down in history as an abrubt stoppage in spending that lead to full economic collapse.

[Anonymous]

Anonymous wrote:Yes, all of this frugality is what is bringing the economy to its knees. It started with housing and now it is an downright panic.

The 1929 brought a run on the banks, 2009 will go down in history as an abrubt stoppage in spending that lead to full economic collapse.

2/3 of the economy is consumer spending. That and optimism about the economic future prop up the markets.