Credit usage in the 3rd world

[97guns]

Reinforcing the fact that we live in a credit based economy and world. My wife is from a tiny village in Thailand, considered a 3rd world country. they have a 7-11 and a couple ATM machines and that's about it, all their marketing is done in outdoor open air markets. They live in a little 1 bedroom open air house/hut and cook their food on a fire or small 1 burner propane stove. Everyone in the village lives the same simple life yet everyone we know is up to their eyeballs(in their currency)in debt, most all of them have taken loans to buy their home or farmland to grow to eat and sell.

It has opened my eyes that the credit based economy is truely a worldwide problem, I know how everyone here uses credit cards without carrying a balance but for sure you have a balance of credit somewhere

[sv2007]

Isn't there something in Islam about not borrowing money (probably in many other religions too). It makes me wonder if the authors of those religious texts also suffered from debt burden during their lifetimes.

Money management skill is useful whereever there's money.

[rennigade]

Thailand is extremely poor. The people that tell you how awesome it is are visiting tourists who stay in posh hotels and stick to the major cities.

The people that live in these villages are in survival mode. Their primary concerns are if they are going to have shelter and food. People like that have no use for credit cards. Is it a simpler way of life...yeah to say the least. Is it a better way of life...absolutely not.

[greenskeeper]

smart debt is good. If we didn't have a debt based economy then we'd be stuck in 1st gear trying to grow.

[GoodSteward]

smart debt is good. If we didn't have a debt based economy then we'd be stuck in 1st gear trying to grow.

We have too much debt, though. The debt we have is going to be like changing from 5th gear to reverse. it's going to ruin the whole machine.

[greenskeeper]

We have too much debt, though. The debt we have is going to be like changing from 5th gear to reverse. it's going to ruin the whole machine.

The government doesn't care about debt, it can just print more money. The problem is that the money we as individuals hold loses value over time.

The economy needs debt, and grows with debt. Remember the crash in 08 when the liquidity of debt almost came to a stop?