Abandon All Fear

What nobody else seems to be saying…

Posts Tagged ‘rich and poor’

[Fools And Their Money] Property Investor Mentality

Posted by Lex Fear on February 4, 2009

Bet this guy feels like a right tit now.

“The place is full with slightly mad people, to say the least. Not a dangerous kind of mad, just weird kind of mad. The fact that a crash might not occur is simply beyond their comprehension. It’s pretty odd how people can be so ignorant towards possibilities. I don’t think there will be a crash per’se, but I wouldn’t laugh or disrespect anyone who thinks there is going to be one.

How magnanimous of you. Heh. Here he is whinging about one of his tennants, something he is prone to do every now and then if you read through the archives.

Which reminds me, I just refused to pay rent rise to my landlord for the second time in 6 months. Ho hum, I guess we’ll be looking at a bigger place for the same amount of money anyway come summertime. The lettings agent is practically begging now (they’ve bolloxed all the paperwork, something tells me they stand to lose a large amount of money soon).

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Posted in Dorks, Duh!, Ha-has, Opinion, Property Market, Quoteyness, Wealth Creation | Tagged: , , , , , , , , | Leave a Comment »

[Budgeting] Economics

Posted by Lex Fear on March 21, 2007

I find myself looking rather ironically at the Prime Ministers Chancellors budget announcements for a number of reasons.

1) It is the first time in my life, I find myself on the slight benefit side of a budget announcement, though I consider other members of my family who have not done so well.

2) It is interesting (but none-the-less welcome) to see that it is mostly Tories who are pointing out how Browns budget switcheroo affects the poorest tax-payers of society:

Gavin Ayling
Guido Fawkes
18 Doughty Street
Iain Dale
Praguetory

Meanwhile The Man Who Would Be King provides a link to Virtual Economy 2002 where you can play at having a go at your own budget. I had a go and I think I fixed it. Most notable changes:

Reduced the rate of income tax (percent) : 6
Reduced basic rate of income tax (percent) : 10
Reduced higher rate of income tax (percent) : 35
Increased basic rate threshold (£pa) : 2,400
Increased personal allowance (£pa) : 6,000
Increased personal allowance for over 65s(£pa) : 8,000
Value Added Tax : abolish it
VAT on fuel (percent) : 0
Duty on tobacco per pkt 20 (pence per pkt 20) : triple it!
Duty on a pint of beer (pence) : double it!
Extra duty on a bottle of wine : triple it!
Extra duty on a bottle of whisky (pence) : triple it!
Extra duty on petrol per litre(pence) : abolish it!
Lowered vehicle excise duty (£p.a) for cars above 1,400cc : 50
Reduced base rate of interest : cut by 1/4 point
Increased department of health : increase by 10%
Increased department for education and employment (DFEE): increase by 5%
Increased the ministry of defense : increase by 1%
Increased child benefit (per child) : 30
Lowered child benefit (extra for first child) : 2
Increased basic state pension : 100

Looking at the generated charts my changes brought about:

  • Economic growth boom 2003-2007 with a sharp decline by 2010
  • Steady increase in national income up to 2009
  • Sharp drop in unemployment to -7% I think that’s a record- companies can’t find enough employees- wages rise.
  • Inflation takes a nosedive in 2004- banks are actually paying interest instead of charging. lots of mortgage and equity release buyers, who are then made bankrupts in the 2000% rise over next 4 years.
  • government debt drops from current 40% to 10% by 2009 (after a small rise).
  • The exchange rate tanks… can anyone explain what this means?
  • To summarise everyone benefits- single, family and pensioners apart from unemployed couples with 2 children who are finding an increase in tax on tobacco and alcohol…

…however… I would like to point out that not all unemployed people, on benefits for whatever reason, drink, smoke and breed like rabbits. Many decent people have no choice but to rely on benefits, but are ultimately more responsible than the cocaine-snorting upper-middle classes.

See everyone can be stereotyped.

Posted in Absolute Power, Bollotics, Financial Terrorism, Justice & Mercy, Londonland, Profiteering, Realpolitik, Wealth Creation | Tagged: , , , , , , , , , , , , , , | 2 Comments »

[Financial Terrorism] Dorment Account-ability

Posted by Lex Fear on March 20, 2007

The governments plan to unlock dormant bank accounts sounds like a reasonable and smart idea.

But who trusts the banks warn or advise people they have accounts that have not been active? What will be the benchmark that is used to determine an active account? What protection will there be for pensioners (since they are most likely to be affected)?

Would you trust a fox to look after your chickens?

Posted in Absolute Power, Bank Robbers, Buyer Beware, Databases, Financial Terrorism, Minitruth, Morals & Ethics, Predatory Systems, Profiteering, Technology | Tagged: , , , | Leave a Comment »

[Elite] Rich Benefits

Posted by Lex Fear on March 7, 2007

I’m not in the least surprised by this little item, it’s pretty much elementary.

I’m not an economist (so feel free to correct me if you have a valid counter-argument), but the truth of the matter is that taxes rarely affect the rich or the Corporati. I don’t need to explain this because our PM has already done so in a recent interview on Newsnight:

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Posted in Absolute Power, Bad Company, Bank Robbers, Bollotics, Financial Terrorism, Justice & Mercy, Morals & Ethics, Profiteering, Realpolitik, Uncircumcised Philistines, Wealth Creation, WhatTheyDontWantU2C | Tagged: , , , , , , , , | Leave a Comment »

[Housing Market Myths] Prelude to The Next Housing Crash

Posted by Lex Fear on October 12, 2006

“…not an ‘if’, but ‘when’.”

In the next few months, I intend to explore some of the lies myths surrounding the UK housing swindle market, using multiple sources for my research. It’s a personal journey I’ve been on, from the self-deceptive prosperity teaching, to out of control debts, and finally an awareness of social injustice to the poor.

Cliff D’Arcy writes for the Motley Fool – Why The Next Housing Crash Will Be Worse! and gives 10 reasons:

  1. We overspend without care
  2. Our bills are soaring
  3. Mortgage debt is massively higher
  4. Non-Mortgage debt has exploded
  5. Mortgage equity withdrawal has soared
  6. Wage inflation is modest
  7. The savings ratio has plunged
  8. Interest rates are low
  9. The state safety-net has vanished
  10. Private insurance cover is pants

These reasons are just scratching the surface of what is a huge, growing, financial monster. I’m hoping to pull in as many sources as possible and put them into a concise article right here on Abandon All Fear.

The other evening I met up with a good friend I had not seen for a long time. He was the one who had introduced me to the book Rich Dad, Poor Dad, and I looked to him as a source of inspiration for learning the secrets to getting rich. At the time, it was as the British housing market was taking off. Everyone was talking about getting into property, more so in the church than anywhere else.

The story was different 3 years later. My friend had bought a property in the North, he had lost money on the sale. In fact he wasn’t the only person who lost money on property in my church, there were many buying into housing race and wealth creation, without any financial intelligence or understanding of market forces. Yet the self-propaganda continues amongst many. I listened to my friend tell me that he still thought property would rise, and how it’s still the best place to invest. I listened as he explained to me we have an influx of immigrants coming into the country which is driving prices up. He had a good argument, and 3 years ago my only choice would be to agree. But this time I was ready with some answers…

I agreed that there were many more people coming into the country than going out, however the market itself relies on confidence and the availability of people to buy. There is a limit on how far prices can go up, because there is a limit on people’s incomes. Not enough people can now afford to buy a house, and of those that do, they are stretching themselves to the limit. Bankruptcies are at record levels, and further increases in the interest rate will create millions more. Where bankruptcies rise so do repossessions, and where there repossessions, there is an urgency for the banks to cut their losses and get property off their books = price drop.

As I already stated, all markets work on confidence. Something that my friend could agree with me on is that the best time to sell is when everyone is buying, the best time to get out is when everyone is getting in. Everyone jumped on the property boat and it is now looking like a boat that will capsize.

People are struggling to sell, because they won’t bring their prices down, some are determined to make at least 30% profit, others who bought recently are simply trying minimise loss on their ridiculously priced mortgage. For both of these groups it’s taking them upto 18 months or more to sell, something in itself which would never have been heard of 10 years ago.

All it requires is a loss of confidence in property, just as everyone rushed in and the price shot through the roof. All it requires is everyone to panic and rush out which will have the opposite effect. I intend to present the evidence and show that this scenario is not an ‘if’, but ‘when’.

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Posted in Bank Robbers, Buyer Beware, Financial Terrorism, Housing Market Myths, Justice & Mercy, Profiteering, Propaganda, Property Market, Wealth Creation | Tagged: , , , , , | Leave a Comment »

[Stupid Economy] Hard Up?

Posted by Lex Fear on September 15, 2006

Has this ever happened to you?

Disaster falls on a friend, they come to you for help. You call a town meeting and in front of everyone you promise to help them out big-time financially.

So they turn up one day to claim on that promise and you find yourself saying “Sorry but I’m a bit hard up at the moment, can we look at the figures again? Did I really promise that much?”

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Posted in Absolute Power, Analogies, Bollotics, Doublespeak, Morals & Ethics, Pharisees, Realpolitik | Tagged: , , , , , | Leave a Comment »

[Churchianity] Titles You’ll Never See In A Christian Bookshop

Posted by Lex Fear on July 23, 2006

I always judge good books by their titles:

The Uncertain Life
Look Great, Not Feeling Great
How God Wiped Out Almost All Of Creation In His Anger
Closer To Hell
What a Messed-Up World
Living Paycheck To Paycheck
Running With Midgets
Developing The Follower Within You
Greed Is OK
The Life You Never Wanted

Some Titles I would like to see:

No, I’m Not ‘Alright’
Issues That Can’t Be Solved By a 3-5 Point Sermon
How To Stick With People When They Are Experiencing Prolonged Difficulty
Respect Works Both Ways
We Can’t All Get Rich Without Someone Being Poor/Ripped Off

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Posted in Analogies, Churchianity, Dark Side of the Light, Ha-has, Of The World But Not In It, Pharisees, The Purpose Missing Church | Tagged: , , , , , , | Leave a Comment »