Living With Your Parents

Maybe some parents teach their children about cost of living expense options, but mine did not. They expected me to carry on a lifestyle legacy in line with their own. I sadly venture to say that my Father became too arrogant to be taught basic leadership and business skills that translate into a well run family, or independant children. I consider his prior employment with the IRS to have lent him the foundation for his oversight and embodies the sum total of his exposure to the aforementioned skills. His example has taught me you can be good with numbers, but lack organization, and character traits to pull off some projects. I believe the absence of these skills contributed to a long learning curve for myself. He with the skills he possesed did the best could. For illustrative purposes I include personal examples. I do not fault him or many others for many of their shortcomings, but I have decided to include personal examples to lend credibility to the experiences I write about. Many times I may reflect on the emotion of the situation I felt at the time, but fail to include the resolution within myself of the conflict.

I have found there are a basic set of purchases that will take place in ones life. Occasionally my wife, overburdened by all of the details of life will hear "The Basics" from me, but they are what everyone overlooks when they are stressed, they are:

1. Food and Clothing
2. Energy
3. Transportation
4. Housing/Water (drinking, grey, black)
5. Education

The primary direction I wish to pursue is to explain the simple facts that surround the purchase of these items, the risk assessment in lifestyle, failures of, and the exploitation and failure of professionals in educating the general population of living (outside your means). I will write more directly to this point in the F&RM section of this site. In general, individuals do not value cash flow, and will leverage their positions until they are "comfortable" (that's code for: "Just at their income level"). This has become a generational problem. Parents view the economy as having no ceiling. In many cases the parent moves the child out too soon and without the proper tools for their long term survival. I do not relish the idea of living with my parents, but hear the arguement.

The individuals that control the helm of this great US ECONOMY know this one thing they really would care to keep quiet. The vast majority of the world at large, not only in our time but in history have lived 2,3, and 4 generations deep in a household. Now if you will, reflect on the economic battles that we are having with: 1. The former Soviet Union, 2. The up and coming country of China, 3 The middle east, 4 Other countries; you will note that we have developed multiple battle fronts. Some would like to dis-engage this conflict, and I'm not writing about the "war on terror." The economic war has a conventional element, but it is not the primary concern. Withdrawing from this war once it has been created has no instrument of disengagement, and all must wage it or give up their soveirgn position in the disengagement. Disengagement by any minor party will create a power vaccuum. Disengagement by any larger party a disaster for all.

The US and it's allies created this economic war to avoid greater numbers of conventional battle fronts. It is what brought the former Soviet state to it's status. If you take issue with this I encourage you to gain an informal education in Macro-economics, and foreign policy through whatever channels afforded to you. If you already do, then you have my ear. If you do not I would not trust anyone to tell you every view point, but see through the conspiracy theories to view what patriots, and traitors can see. You do not need to see it all to see what could happen to Government entities if those who are able to execute their will prevail. If you have a good broad understanding of the conflicts abroad, and a really good understanding, of basic accounting formula, it's application in the micro/macro environment, and currencies, take a good look at the entity structuring of the Reserve Bank, and how they are beginning to manage the US Currency. Every time they dilute the dollar by 50% the children in this country will DOUBLE the time they spend in the home after they are 18. They are using the dollar as the biggest weapon ever devised to provide for our national security, but it comes with a price!

I really wish someone had told me how this all worked. I would have, gone to school, lived in a tent, showered at the gym, and had a part time job. In the future I hope my children have that option! The point is that we all need to look at our Spanish speaking neighbors, and consider comments from members of the House and Senate directed at: "The next middle class will be minorities." If we as a nation in this "New Economy" are going to have the blue collar trade jobs our polititians are promising, (regardless of left or right), the sliding scale that measures the value of currencies will need to find a balance between the currency of China (the country that currently builds a great number of our consumables), and our service related economy moving back into manufacturing.

The bottom line is that (decades) of continued deflation of the dollar is inevitable. The adjustment periods between these deflationary measures labeled as a "soft landing", will push the generational housing issue until stacked families, and families able to live like this will be the individuals that survive the storm. Individuals, and couples owning a home early will still happen, but will be more of an anomoly. Now if we as argueably the last remaining superpower, had citizens who had homesteading skills, and food storage the Federal Reserve could really pull the plug and the rest of the world would just have to fend for themselves, but considering that is not the case it will have to be slooooooow, and painful!