Do you think LI's housing stock and infrastructure is reaching the point of diminishing returns?

[AlexisT]

Originally Posted by azzurrony

What has gotten the US in this mess is our horrible savings ratio. People want to continually blame government without taking accountability for their own actions.

Our society simply does not save its money anymore. The savings ratios in Europe and Asia dwarf those in America. We've become a culture that needs the newest and biggest things right away....whether we can afford it or not. We created a middle class that thinks and acts as if it is the rich. (Bigger homes, bigger cars and SUVs, beach houses, nice vacations, eating out all the time, lavish parties for the kids, etc.).

Asia maybe but NOT Europe. I just returned from 4 years in the UK and the binge there was as bad or worse.

As for it always being tough... it is tougher now. The price/earnings ratio for a starter house has gotten progressively higher. It may never have been easy, but it used to be possible to buy a house on one middle class salary. Try doing that today.

[Kbinspections]

Originally Posted by azzurrony

What has gotten the US in this mess is our horrible savings ratio. People want to continually blame government without taking accountability for their own actions.

Our society simply does not save its money anymore. The savings ratios in Europe and Asia dwarf those in America. We've become a culture that needs the newest and biggest things right away....whether we can afford it or not. We created a middle class that thinks and acts as if it is the rich. (Bigger homes, bigger cars and SUVs, beach houses, nice vacations, eating out all the time, lavish parties for the kids, etc.)

Frankly, any family making over 100k combined in LI should be able to live fine if they cut out the "fat". It's easy:

1. Buy a house you can afford. You don't need a McMansion.

2. Drive a smaller fuel efficient car. A Honda Civic can be had for a good price.

3. You don't need a vehicle for every member of your house. Take more public transportation. It's not "beneath" you.

4. Only eat out on special occasions. Cook your own food. It's cheaper and healthier in the long run.

5. Cut down on your electronic gadget purchases. Do you really need a 10 megapixel camera? 2/3 HDTV's? A home theater system with Dolby TrueHD?

6. Cut down on the clothes shopping. Shopping is the new religion in America. Weekend worshippers spend hours in the stores on weekends like zombies running up their debt. Why? They are bored with life and unhappy. Find a real hobby.

7. Limit your vacations. I'm not saying don't ever go away...but instead of the expensive trip to Europe or the Caribbean....take a weekend drive to New England or the Adirondacks...or drive up to Montreal. Fun can be had on the cheap.

8. Don't spoil your kids. THIS IS THE NUMBER ONE PROBLEM I SEE. Parents love their kids, but they show that love in all the wrong ways at times. I think our society feels guilty that it isn't at home more and so they try to make up for it by bombarding the kids with gifts and lavish parties. You are only HURTING your kid by doing this. Believe me...you are creating an adult that will have faced no adversity and who is flooded with a sense of entitlement.

Awesome post!