Commentary by Shawn Hartman
That really big number — $4.8 Trillion — is the INTEREST that the U.S. must pay to cover our debt. JUST INTEREST!
Believe me, just like you, I shook my head when I saw the amount. Now, the amount, although it is hefty, is not as bad as it could be. The borrowing and spending really did help us out of what could have a much heavier disaster. (Believe it or not!)
But, at that sky-high cost, you would think the interest rate would be “fixed” so to speak. It’s not. It’s variable. $48,000,000,000. That’s 1% of the interest only. Even at 0.5%, that’s still a huge $24 Billion.
But, most importantly, how does this relate locally? Well, think about it a little. We’ll all have to help pay this “bill.” All of the U.S. income tax would have to be used for six years to pay that off.
How much would you donate? Feel free to comment below.
Quote of the Week: “There are only two certainties in this world- death and taxes” - Unknown
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Financial Commentary by Shawn Hartman
As I continue to ask a heart breaking question, “How much did you lose in the markets?,” I seem to gather the same response continuously, “Around 40%.”
Talk about a little bit of money. 40% seems almost life and death to many Americans. What most people don’t see is that, there is tremendous opportunity awaiting them right now.
As you read this, millions of trades are occurring with prominent futures. “Every new beginning comes from some other beginnings end.” The markets have regained stability and so have many of the companies they list.
It’s time, in my opinion, to start buying and LONG-TERM investing. Pay special attention to this week’s Quote of The Week.
I am curious. How much did you lose? Feel free to place a comment on the Kittanning Paper website.
Quote of the Week
: “Be fearful when others are greedy. Be greedy when others are fearful” – Warren Buffett
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On Thursday, the Senate approved the action to extend the “Home Buyer Tax Credit” of $8,000. The credit would be available until April 30, 2010. The Senate approved this measure 98 to 0. Pretty hands down, you might say. Some 1.4 million claims have been made under the credit’s incentive but, claimants were rarely impulse by the credit. Some arguments have been made that the current Fed Interest Rate is just enough boost to get things moving again. The extension brings up more debt further past ceiling by another $11 billion to $21 billion. Of course, the President will sign for it when it sits in front of him soon. So, lastly, what does this mean locally? Well, if you buy a house soon, you’ll get some money back. So, if you’re able, buy that house. Dummy.
Quote of the Week: “The purchase of Burlington North is an endorsement of the American System … It works” – Warren Buffett
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HARTMAN: Let's Get Down to Business | admin November 20, 2009 | 
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