Economies that don't build anything don't grow. They contract. We have nothing to sell but debt.
Our politicians have taxed and regulated us out of the manufacturing business, we're going to pay the price.
True. If it comes to the point where being a producer no longer makes sense here, perhaps seeking greener pastures abroad?
Disclaimer: Nowhere in this post will you find the word corporations, crony/capitalism. I don't blame anything, as assigning blame is to play the victim card, and playing the victim suggests that one's self is powerless....something this post isn't about.
Somewhere along the way we went from being a production oriented society to a consumption oriented society.
It's everywhere, and honestly consumer debt is just another means of control. Americans aren't only spending money on crap that won't be worth anything, they're borrowing money to acquire junk that has no real value.
How many of us in our 30s can say, F-it! And walk away right now and have enough cash/passive income to live on their own? 40s? 50s? 60s?
Planned obsolescence is making sure most continue to try to keep up with the joneses, and it has infected just about every purchase someone may make, ensuring we all keep running in that hamster wheel, stuck in the same place.
In fact, I think the only things not affected by planned obsolescence, are heirloom items like jewelry, precious metals, land (in prime areas), fine mechanical watches, and some firearms.
Here's some examples.
Houses: why the hell are houses primarily constructed of wood, especially in a termite laden place that's way overdue for a natural disaster? Why isn't the standard an ICF house on a post and pier foundation complete with an ICF roof?
Cars: all manufacturers are making throw away vehicles, and that includes the German luxury brands (I don't care how much you paid for your Audi/BMW/Mercedes, it doesn't have 10% of the build quality the 80s models did. It's a ticking bomb, that's why it depreciates like an anvil falling out of the sky and the offers you receive are less than book). Actually I argue that the mid 90s European makes were the first to start this trend). Compare an 80s Porsche 911 to a new one. You'll, realize what a POS it is the moment your hands touch the plastic handle (bye bye metal trigger). Headliners too. They sag these days, because they glue them on, they aren't sewn on like they used to be.
These two segments alone, the two largest ticket items one could make, is already setup up for planned obsolescence. One buys a wood house and spends money on the bling items, like faucets, cabinets, countertops, and furniture. How about spending the cash on a superior foundation and materials instead? Factor in an amortizing loan that most let run to full term for the top item, how could one possibly get ahead?
Make more, invest more, spend less.
Can't afford it? No problem, rent (a room), for the cheapest you possibly can, socking away the excess income into index funds, peer to peer lending, businesses, and other money making plans that will provide PASSIVE streams of income. One could have ultimate freedom and come and go as they please with multiple streams of revenue coming in. Especially if these streams don't require constant managing.
I've been asking myself more and more. What do I produce? How can I in source more instead of outsource. Keep more of my hard earned coin and channel it to vehicles that will in turn make me more coin. Contrast that with spending that coin faster than you get it, on items that not only don't help you make more coin, they don't even retain their value.
Start simply. Cut your own hair, make you own lunches, cook your own food. Make your own natural household cleaners, shampoos, and tooth paste.
I do believe that mr. money mustache is on to something. When you reach FI, you're free. Free to pursue new ventures, help others, free to be the best person you can be, because you've freed up one of the most valuable resources, time. With more time, one cans pursue their passions, help out in the community, empower others to get there so they in turn get there themselves. Spend more time with family....so this institution doesn't go the way of the dinosaur (it quickly is, in the never ending pursuit to work more so you can buy more stuff).
I love material items as much as the next person. Firearms, cars, surf boards, etc. 2 questions I ask myself before buying. Will it hold its value? If it doesn't, hopefully it will be an investment in my health such as a surfboard or a bicycle. If it doesn't meet those two things, and I'm not FI yet, I shouldn't buy it.
I find that at an individual level, the quest to produce more is so powerful. There are so many positive byproducts. Not only are you elevating your self worth, acquiring new skills, and gaining knowledge......you're becoming more independent and saving money in the process. Self reliance, in and of itself, is freedom.