DEBTication: An Examination of Profligate Deficit Spending

A long time acquaintance today said something totally amazing. He had been out shopping and came across an interesting new television set. This television was no ordinary set, of course; it was the epitome of post-modern technology, casting a high-definition light from it's crystal clear proprietary-technology 72" screen. Six feet of digital opulence, certainly a sight to behold.

There is little wonder that my friend was instantly enthralled with this incredible display of technology. So enamored was he, in fact, that he spent quite some time seriously considering the merchant's offer: $4,000 financed for five years with no payments and no interest for the first twenty-four month. Quite an offer, indeed.

What strikes me about my friend's consideration of this offer, though, was the ease with which he entered into contemplation. My otherwise rational friend was actually giving serious consideration to the idea of plunging himself thousands of dollars into debt for a new TV. A nice TV, of course, but just a TV nonetheless. He actually came within moments of signing the paperwork and walking out of the store to spend the next five years of his life indebted to the company. The only thing he would have to show for this step down in society would be a piece of technological wonder which would undoubtedly be outdated and comparitively worthless by the time it was paid off.

How did we, as a society, get to the point where it is acceptable to negate years of hard work simply to have something that is shiny and new? A point where, not only is it acceptable to endebt ourselves, but actually encouraged? Our forefathers worked long and hard to offer us the life they wanted without having to owe someone else. In their day, debt was seen as a pauper's curse, a hole that every possible resource should be dedicated to escaping.

In those days, and in not-too-distant memories, having nice material things was a sign of wealth, prosperity and success. Today, a house full of material belongings more closely resembles a symbol of mental weakness; a sign that we have allowed corporate profiteers to talk us into signing our lives away for the privelege of taking home a new toy.

Perhaps this decline started with Reaganomics back in the 1980s. Maybe it has deeper roots, going back to post-WWII spending. Maybe, though, and far more likely, it is the product of a long-standing truth: if you hear something often enough, you eventually start to believe it.

For years now, Corporate America has been subtly urging us to go into debt to buy their products. Credit cards, once a convenience of the well-to-do, are now just "cards;" no credit is necessary to get one. Banks are practically begging customers to take out loans. And, of course, store payment plans are more popular than ever. Even bankrupcy, the once unholiest of deeds, is a mere inconvenience in today's world.

The only way we- as individuals, families and a society- can get out of debt is to change our mindset. Debt should no longer be viewed as the friendly alternative to a lower bank account balance, it should be seen for what it is: an immediate and negative impact on our net worth. Rather than being an encouraged form of payment, it is more akin to saying, "Dad, I want this thing but I can't afford it. Can I have a little money to buy it if I promise to pay you back?"

Who wants to ever say something like that?