The psychology of finance

Yes its Christmas. It really shouldn't be about money. It is the season of loving, giving and supporting - be it with the humans or the animals.

Why this cold-hearted post post-Christmas? Bobby is currently being housed at $900 a month. MIL feels that that this is too expensive and Bobby should be put up for adoption instead. It is no small sum but Bobby is really aged now and we wonder whether there is any logic behind re-housing him again at his age.

Money money... there's monthly insurance, helper's pay, TD's expenses, meals, saving up for a house. $900 a month vs relocating a heart-broken old dog from home to home to home to home?

To me, it is really quite expensive to have a child. From the delivery, to the pd, to the baby equipment to the insurance...

Luckily, looking at TD always puts a smile to my face. Fantastic. Still, I have to re-emphasize on the importance of saving. I remember meeting Uncle Lionel who reminded Irwin and myself to save up to $1million first before splurging in life..working towards it!

Does it All Add Up?

Ever since the subprime crisis first happened in 2007, we have seen several other financial and corporate failures, exposing the weakness of the financial industry and the economy.

First it was the $700 billion bailout of the U.S. financial system, now Obama and congressional Democrats have entered into discussions over an economic stimulus package that would grow to include $850 billion in new spending and tax cuts over the next two years. - Washington Post. Whether this will pull the nation out of a deepening recession? Lets leave it to another post.

While the economy slows down, so did I. Day 6 of my two weeks vacation. Mainly spending my mornings attending yoga class, and helped my mum a bit in the office at noon. I knock off at 5:30pm sharp. Yesterday, Friday, I went to check out the Isetan sales. Bought a hell lot of Christmas presents for my family and myself to stimulate the economy.

Read the following and found it interesting. Here are extracts of it. Enjoy!

"The New York Times", November 22, 2006.

ADDING IT ALL UP

By Rick Moranis

The average American home now has more televisions sets than people – according to Nielsen Media Research. There are 2.73 TV sets in the typical home and 2.55 people, the researchers said.

I have two kids. Both are away at college.

I have five television sets. (I like to think of them as a set of five televisions.) I have two DVR boxes, three DVD players, two VHS machines and four stereos.

I have nineteen remote controls, mostly in one drawer.

I have three computers, four printers and two faxes. I have three phone lines, three cell phones and two answering machines. I have no messages.

I have forty-six cookbooks.

I have sixty-eight take-out menus from four restaurants.

I have one hundred and sixteen soy sauce packets.

I have three hundred and eighty-two dishes, bowls, cups, saucers, mugs and glasses.

I eat over the sink. I have five sinks, two with a view. I try to keep a positive view.

I have thirty-nine pairs of golf, tennis, squash, running, walking, hiking, casual and formal shoes, ice-skates, and Rollerblades. I am wearing slippers.

I have five hundred and six CD, cassette, vinyl and eight –track recordings. I listen to one radio station all day.

I have twenty-six sets of linen for four regular, three foldout and two inflatable beds. I don't like houseguests.

I have one hundred and eighty-four thousand frequent flier miles on six airlines, three of which no longer exist.

Whats up with the economy??

The economy, at its most basic form, is defined as the realized social system of production, exchange, distribution, and consumption of goods and services of a country or other area (wikipedia).

Right now, it is sick. First it was the banks, and now Detroit automakers are in line seeking emergency aid. Individual consumers like you and me, are probably limiting purchases as the labour market no longer offers the stability or security it used to. Falling property and stock values are probably hurting some household's wealth - or it could become a good opportunity for some ;)

In November, another half a million has joined the unemployment toll. Sigh, where are the happier news these days?

gloom or opportunity

If you flip the papers these days, whats the buzz word? "Crisis", "Recession". No doubt the governments are stepping in to provide the assurances, we know there's gonna be more job loss, cut in hiring and reduced bonuses. After 15 years of economic growth the party is over.

Went for a morning walk at Botanic this morning, and hehe, bought a Sudoku Puzzle book. Addictive!! & very fun! This evening, I am attending a prayer session which focuses on the female zambala (wealth buddha), especially good for people in business. I am not exactly a businesswoman - but in challenging times like this, why not? ;)