Pyramid Comment

This journal takes an alternative view on current affairs and other subjects. The approach is likely to be contentious and is arguably speculative. The content of any article is also a reminder of the status of those affairs at that date. All comments have been disabled. Any and all unsolicited or unauthorised links are absolutely disavowed.

Sunday, May 04, 2008

Wealth Divide

The rich are getting richer and the poor getting poorer. Attempts to hide this are being made by the creation of the middle rich. Pure invention.

Taken from: The Increase Of Worth And Value. (This Journal)

  • Actually creating true wealth is illusory. Inflation is the balancing effect. True wealth cannot increase when everything costs more. At any point in time there are ups and there are downs, but the long term trend is down. Or up. This depends on the true personal perception of rich and poor. The rate of getting richer or poorer may slow down from time to time, but the direction doesn't change. The illusion feeds itself. The blind still cannot see. If you can see then you must open your eyes to view reality and not live within the dream inside your head. Equate dreaming with illusion and you'll get closer to the truth about control and the effects of being controlled.
The 'middle rich' don't exist and it's perpetuated by an illusion. The curtain drawn across the divide attempts to hide the void. An example is provided by those apparently able to afford the 'average' car and around £15,000 - £20,000 is constantly pushed as an expected price for a new car. This is the conditioning. Road tax is adding to the illusion by encouraging new car purchases to avoid paying a higher rate levied on an older vehicle (pre-2001). The logic is quite ludicrous, but if a car is bought through a loan, it becomes clearer. Minimising the cost is important since money is tight and getting tighter as the belt and thumb screws are tightened further. Few new cars are (probably) bought for cash as the depreciation can only be partially offset by the trading of a second-hand car for another new one. Absolute lock-in.

Growth is an illusion. It's give and take - a little bit more than is ever given. Result? Simultaneous inflation and deflation. But they are not equal.

It becomes a real trade through attempting to minimise the depreciation by buying a new car and extending the original loan. The loss of value by depreciation must be added to the increase by the interest payable. The amount paid to service the loan probably doesn't change much so the illusion is one of real value. The loan just goes on forever. Really quite clever in a perverse way, but the buyer is still getting shafted. It doesn't hurt so much if you can successfully be deluded by burying your head in the sand. It doesn't need to be buried very deep as long as sight of reality is lost.

Vehicle Tax - Milking The Cash Cow
Cash Cow Lives On