ithinkminh

Only after studying it deeply, dissecting the problem, understanding the problem, internalizing the problem, and attacking it from all angles and direction do we hope come up with a solution.  It’s often too easy to throw around solutions and suggest ideas when you don’t know too much about the problem.  I had started this blog post some time ago, and never got around to finishing it.  I first intended to write about the creative process between problems/solutions.  Now, I will focus on the different aspect of accepting that sometimes, you have to put fire out with fire.

Sometime the easiest thing to do is also the hardest.  The current debate about America’s debt will continue for some time because the worst has yet to come.  With each passing month and escalating debt to foreigners, as a nation there will be less options, and more difficult choices. 

The fact is that our expenses as a nation towards carrying out two war campaigns in Iraq and Afghanistan have cost us over a trillion dollars.  That is many trillions in terms of the opportunity cost to put that capital to use elsewhere building infrastructure,   basic research, renewable energy and many other projects.  The choices are clear; we must withdraw from these regions, as it is too costly.  If we apply a strict cost/benefit analysis to these activities, we are not getting a return on our investments.  Capital can be better utilized elsewhere.  The United States does not have infinite resources, for all intended purposes we are pretending to be bigger, larger, better than we actually are, and the cracks are showing. 

Social Security and Medicare will bankrupt the United States.  We have some of the highest healthcare utilization rate in the world; we spend more dollars per capital than any other advance nations.  We do not have the best national healthcare system, and more money spent on healthcare does not equate to better patient outcomes.  Eventually the retirement age will have to increase from 65,67,69.  I don’t know why people are so up at arms about this, just ask retirees what they are doing in retirement.  Working!  Or trying to find work.  Social security alone will not afford most people a comfortable living.  The poorest segments of society are often the elderly.  I’m going to write a separate post about this in the future.

Social Security and Medicare are lightning rods, you touch it you pretty much end your political career.  Why is that?  Because baby boomers vote, and they are well represented in government.  A cut to Social Security and Medicare/Medicaid would bring down the federal expenditure drastically.  But that’s asking a lot of the baby boomer and the elderly, effectively the rules of the retirement game are changed right before their eyes, and they aren’t going to drink that medicine.  As a society, we are asking this segment to make a large sacrifice, and it simply isn’t fair, they have done so much to build this nation over the past 60 years. 

A modest proposal would be for the US to default on its debts.  In some ways, this is fairer to everybody because it makes capital more expensive for everyone from the international market, to us treasuries, to state bonds, to US corporate bonds, to small business loans, to mortgages.  Yes, everything will be more expensive, but at least it is more expensive for everyone.  In addition, seeing the devastating impacts to jobs, employment, and trade will open people’s eyes to make the hard choices.  In the end, the United States will have a stronger balance sheet.  This has never occurred before on a systemic level, so reactions are unpredictable.  International lenders are going to be hurt the most, notability China, with current holding over 1.5 trillion dollars alone.  It might plunge the world into a global depression.  But you know what?  If as a society we allow for personal bankruptcy, corporate bankruptcy, municipal bankruptcy, state bankruptcy, why can’t the United State declare bankruptcy? 

I wish I didn’t work so hard.  Born in the year of the Ox according to Chinese Astrology, I  proud myself in being a hard worker, I have been a hard worker all my life.  Society rewards those that work hard.  Successful people are often quote saying things like,  “There are no secrets to success. It is the result of preparation, hard work, and learning from failure.”  But does working hard really result in being more successful? I’m beginning to not believe in that mantra as much anymore.  Don’t get me wrong, that doesn’t mean I’m just going to slack off, I think I might get ill from that because it’s so out of character, being an Ox and all.  Let’s look at some test cases to demonstrate this point that working harder doesn’t result in greater success or happiness.  My family and every single individuals in my immediate family would by any standards be considered hard working people.  I wish that we didn’t have to work so hard, maybe things would be different. 

My father worked as a laborer at ConAgra Frozen Foods when we first arrived to the United States 17 years ago.  Although young at the time, I remembered his wet hair, and completely soaked tee shirt discolored and aged like coffee paper. He would often complained of back and shoulder pain and yet with physical therapy he continued on, like an old rusty engine that run, but you have that queasy feeling that it could give out unexpectedly.  When my father couldn’t keep up with that demanding job anymore, he found work as a colored print shop technician.  He didn’t have a single clean shirt or pant.  You can see the color pigments stuck to his fingernails, hair, and skin after work.  Of course they wear masks at work, but it makes you wonder if the stuff coats his lungs as well.  My father who came to the States many years ago, who still doesn’t English, and walk with a limp, but too proud to use an assistive walking stick, worked hard and paid his dues.  He did what he had to do to take care of the family, like the lone wolf looking after the pack.  Maybe he worked a little bit too hard.

My mother worked hard all her life.  Work was all that she knew.  Born into working, born into physical manual labor, that was my mother’s way of life.  My mother stands 4 foot 10 inches, weights 105lbs.  That’s about how much a 4th or 5th grader is in physical attributes.  She lasted at ConAgra longer than my dad, she made big men cry.  She would pick up extra shifts, and would sometimes work all 7 days. She would cook, clean, and cook day and night, maybe she was a bit crazy, maybe work drove her mad.  She was a happy person, she smiled often, and she ate a lot!  She worked at ConAgra even after she became very seriously sick, and we had no idea.  My mom never got her retirement, she deteriorated away in a relatively short period.  She worked way too hard. 

Looking back I wished that I had been more helpful, not that I was ever a problematic child, I was a contentious child, but I was just a child.  Had I been more helpful, my parents wouldn’t have had to work so hard. Had I been less needy of material things, maybe my mom wouldn’t have worked all those extra Saturdays and Sundays.  I’m extremely gracious for all the things that my parents have done for me, all the sacrifices that were made.  Looking back, had I been more understanding of our situation instead of comparing myself to others; my parents wouldn’t have been pressured to work so hard.

Personal financial management is difficult.  It is hard to stay within a pre-determined budget, especially if you don’t make that much (income).  I have a good idea as to what my income will be each month, because I work for the man.  I try not to spend (expense) more than I make, thus achieving a positive net income. Don’t spend > than what you make is pretty easy to understand.  That’s easy if you make a lot of money, where that never become an issue.  But for many people, myself included. IT IS the issue.  The first step is indentifying where /when the income arrives, and how much/when/where I spend money. 

My needs /wants:

• Life/ Health/ Vision/ Dental Insurance
• Student loans
• Car/ Maintenance Insurance
• Cell phone plan
• Healthcare expense
• Gas
• Food and Groceries
• Rent Payment

It solves a lot of my guess work, and it turns into a financial game.  You can see how much money, how much spending, ways to save money.  There are nice graphs and charts that spell out pretty much everything.  It works well for me because, I’m paperless. I use my credit card for everything, so there’s a transaction record.  The only part that doesn’t work so well is that it sometimes has issues synching financial data from some of my accounts or it causes my accounts to lock out due to ‘security’ concerns. Then I have to call into that financial institution to get it unlock.  But it’s FREE to use, and it’s ever so helpful, so what’s not to <3?