Quote:
Originally Posted by Still Growing  Imagine a world where there were no loans and you simply had a house or car or you didn't. With no loans the poor would stay poor.
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I would be very interested in hearing some elaboration on this topic. I don't see how owning a house or car can cause someone to not be poor. In fact, it seems much more likely that giving credit to those without the means to pay is more likely to keep them poor. Of course, the individual has the option to not borrow money. Very often, though, people who are poor are not good with money and as long as credit is available to them are more likely to keeping going farther into debt (and therefore staying poor). The individual is to blame, not the lender, in these cases. But as a society, it would be very interesting to see how things would be if we did not have this view that everyone has to go into debt to get a car or a house. Personally, I think people would be much better off if they lived off of what they made, and went into debt only as an absolute last option.