Quote of the Day: Paul Kedrosky on Frugality is the New Black
by Lloyd Alter, Toronto on 10. 6.08
Well, actually it is Paul Kedrosky quoting David Rosenberg from Merrill Lynch who is probably out of a job now, but it's on Kedrosky's blog:
[people are going to start paying down debt.] That means that the savings rate is going to be forced higher. This, again, is going to be very, very disinflationary. It means that fashions are going to change. It means frugality is going to set in. We're going to be living in smaller houses, driving smaller cars and living more frugally. It's not going to be the end of the world; it's going to be a necessary process to truly embark on getting the balance sheets down to more comfortable levels so that we can actually embark on the next cycle.
Read the entire article on John Mauldin's blog,
where Rosenberg notes the one of the causes:"The natural level of demographic demand for housing in this country is annual demand of 1.45 million units. From 2003 until 2007, builders added on average nearly 2 million residential units per year, or 30% more, than the natural demand could absorb, because, of course, we were in a new paradigm. So the builders were building homes and condos as if we had the same demographics as the 1970s when the Boomers were buying their first refrigerator. This is a case of Global Crossing meeting D.R. Horton, and we are paying the price for that, even today."
More on Green Frugality in TreeHugger:
Fannie, Freddie and the Future of Housing, Innovation and Green Design
Frugal Green Living : Find Your Dinner at the Farmers' Market ...
Frugal Green Living : Save $1000 Using These 6 Tips :
Frugal Green Living : Seven Tips to get Recession Ready r
Thirsty for more? Check out these related articles:
- Frugal Green Living: Have We Been Brainwashed To Avoid it?
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Let's hope. There still seems to be no shortage of frivolous consumeristic posts on this site.
This is the real revolution that is coming: not the end of oil, not a stock exchange crash, no Mad Max scenario and no end of the hot shower era.
The end of the age of waste and inefficiency may be less charismatic but it is just what the doctor ordered- a short term drastic but subtle change.
@ Willy Bio: You're so right because life and those devoted to improving the quality of it should be void of all frivolity. Haven't you ever heard the "all work and no play makes Jack a dull boy?"
I agree that many of the sheeple would do well to reduce the purchase of items that are pure waste, doesn't being overly conscientious end up doing more harm than good.
James,
I don't necessarily disagree with you. But right now, our culture is akin to an alcoholic who thinks that simply cutting back a bit will do the trick. Our psyche is not ready for anything but some seriously hardcore cold turkey. The only question is whether or not we will do it ourselves, or outside forces will basically do it for us.
As for this site, maybe some transparency and self-realization is in order. Post the frivolous consumer nonsense, but call it out as such. Today there is a post about pseudo-green dog beds. My God, eve hear of using a folded up old comforter? Maybe one purchased from Salvation Army? The post could have started off with a statement like that, albeit a bit less caustic. Either we make a mind-set change, or there's going to be a SEE change. Our choice.