Geo-politics, fiscal rectitude, transparency, monetary policy, sovereign debt and constitutionality aside, the Obama years will be marked as an eon of gloom for wage-earners.
There ‘ain’t been nuthin’ in for us, that’s fer dayum sure.
I could link to statistical and commentary sites all showing that wages are stuck or reversing, with no hope for sustained change in sight, but what’s the point? If you are, like me, at the mercy of an arsehole employer, you already know all about it. And if you aren’t in need of a hourly job, you’re probably cruising along.
Those in the asset-owning class are the ones who have made out. Bubbles like never before seen are current in:
* (lots of) housing
…and all the stuff that doesn’t require actual day-to-day labor. You have had to own assets OR cashflow for the last ten years to have been successful. Even savers have been screwed over with zero rates.
What’s the lesson? Well, for one thing, consider your job a short-term tactic only. All, and I really mean all of your creative energy should be channeled into creating, finding, mining, uncovering, discovering, harnessing and making income from other than hourly work. It is that important. The success of the rest of our lives depends upon it.
Remember: governments are broke (US, Japan, Greece) or committed to failed enterprises (Germany to the EU) or just plain corrupt (almost everywhere else.) So counting on them for anything…well, you figure it out.
Remember: asset bubbles burst; they never, ever last. So all that stuff I listed above? Well…you figure it out.
Remember: income is what makes the world go around. Rents still must be paid; people will always need soap, shampoo and tile cleaner; people still have aspirations, and will work for you if you motivate them. At some point income-producing assets will reach reasonable prices worthy of us investing.
The only question is: Will you be ready when they do? Will you have the cashflow to take advantage?
Wages and Politicians be damned. Let’s get independent.