Save, it’s the most patriotic act.

I am writing this post after reading another blog post called
Is Frugal Living Bad For America? http://www.plantingdollars.com/rants/is-frugal-living-bad-for-america/

I will start by saying and I think you will agree with me, that sometimes you must make an uncomfortable short term decision that yeilds good long term results. This week as we celebrate the 4th of July, and in Canada (Canada Day).  I say, Save, it’s important.

Savings are THE MOST PATRIOTIC thing you can do for your country and here is why.

1) Saving = liquidity = money your bank can lend =  investment. By not using income to buy junk, that money enters the reserve, and is used by banks over and over again to lend to a small business (The real job creator), to buy fixed capital, such as factories and machinery, creating good paying jobs, in your own backyard.

2) If you don’t save, liquidity happens by borrowing, so if a country say USA, does not have enough liquidity, then it must borrow from either its people or other people. If your people are spent, then you borrow from other people, for example China. There is nothing wrong with borrowing from China but I ask, what is more patriotic, money independence or money dependence?

3) Saving means lower interest rates. Lower interest rates means, more investment, more small business, more jobs, more income for people, lower taxes or more income for government, more independence, means more savings, and that means you start a healthy cycle over and over again.

Save, invest, create jobs, earn money, save, repeat…..

So you can be Patriotic in the short term and spend, or you can do yourself and the country some real good and Save.

I think its time to save, don’t you?