Is Credit Card Debt Really an Indicator of Consumer Confidence?

Let's shop til we drop

Let’s shop til we drop

In 2011, the total amount of consumer borrowing passed the $20 billion mark according to the Federal Reserve’s statistic. It’s gone nothing but up since then. Many analysts will tell you that this is a positive sign and indicates that consumers are confident in the economy’s trajectory.

Naturally, here at Moneylicious! we think this is complete nonsense.

It’s much more likely that consumers are loading up the credit cards for frivilous holiday expenditures and to cover living expenses since meager salaries and part-time hours are no longer able to compete with runaway inflation — which also doesn’t exist according to the “experts” and the Federal Reserve.

Bought a jug of milk lately?

Here at Moneylicious! we think the premise of consumer confidence is false.

Increased holiday sales are buoyed by a “reverse depression” phenomenom. People are tired and frustrated of eeking out meager, debt-ridden existences and rationalize overexpenditure and debt-based temporary fun around the holidays as they’re one of the few times a year that allows a bit of escapism from the unceasing drudgery of the 9-5 rat race.

So we run up our credit cards in the hopes that one day or so will be worth another 360+ days of drudgery.

For many people, it is.

Let’s go further into this:

Supposed “consumer confidence” is apparently an economic indicator designed to measure how American consumers feel about the economy as it relates to their own, personal financial situations.

They say that the more confident you are in the economy as a whole, the more likely you will spend and take on debt.

If the economy grows, Americans should purchase and consume more.

If it contracts, then Americans should save more according to this paradigm.

Well, call me crazy here, but if the only impetus Americans have for saving money is worry about the economy — i.e. the financial situations of all the other 300 million and more people in this country then we have some serious work to do here. It’s obvious that the basis of much of America’s financial behaviors and habits are completely backwards.

Paying for consumables and knick knacks you can’t afford with credit cards you can’t pay off is not healthy or rational behavior for a first world, supposedley advanced economy. Debt is the ruin of all empires.

Here at Moneylicious! we think a pig is still a pig no matter how much lipstick you put on it nor what fancy metric or namebrand you try to give it. Wilbur was still a pig, wasn’t he?

The credit card factor is particulalry troubling in this whole mess. That’s because credit cards can much more often be used for impulse purchases.

And impulse purchases are by nature usually things we don’t need and can’t afford. Can you really go a gazillion dollars worth of debt-financed purchases of worthless junk imported from China “economic growth” or signs of “consumer confidence”? I don’t think you can.

Playa del Carmen Real Estate – Hotel Investment Market Increase

real estate in playa del carmenThe Playa del Carmen real estate industry is very closely adjoined with the location’s tourist sector in several ways, with both locals and investors getting substantial benefit from solid tourism. This is why it is essential that 2010 saw a considerable increase in tourist numbers, especially in hotel occupancy.

The perks of buying Playa del Carmen real estate have actually been closely tied to the area’s healthy tourism market, and recent occasions reveal that this sector is increasing as solid as ever; the international hotel chain, W Hotels Worldwide, has actually signed up with numerous various other substantial chains to buy opening up a new hotel in the location in the close to future.

For all Playa del Carmen real estate purchasers, this rise indicates that tourism is expanding, brand-new hotel will certainly be built, even more golf links, buying areas, restaurants and bars will open, the area’s well-known nature theme parks will broaden and supply a lot more tasks, and, as a whole, the top quality of life will raise.

For investors there is a certain advantage. Greater hotel tenancy indicates higher demand for rental condos. Little groups of travelers (family members, little work environment journeys, and so on) usually seek huge condo units or homes to rent out as a comfortable and affordable choice of hotel rates. Higher need indicates a rise in leasing and a boost in return on property investment in Playa del Carmen.

For real estate in the location, high tourism numbers and the investment brought consequently indicate that the activities, services and “tourist facilities” (greens, ports, ecoparks, etc.) will certainly additionally remain to broaden, including in the top quality of life currently appreciated in Playa del Carmen. Essentially, having real estate in Playa del Carmen will certainly be a strong investment, whether in regards to lifestyle, or in terms of economic gain.

Various Playa del Carmen Property kinds can be considered for investment functions. Amongst these, one which does rarely gain the focus it must anymore is Playa del Carmen Land. When the city was originally expanding in the early part of last decade, many buyers viewed the success of acquiring land in the location; now, as Latin The united state’s fastest increasing neighborhood, and a tourist market that has actually recovered exceptionally well from the economic downturn, and shows pledge of continuing with excellent numbers in the future, land acquisitions in Playa del Carmen still present superb chances for taking advantage of these benefits. For more about Playa del Carmen real estate investments visit

Mexico on the fared well – although not in addition to Playa del Carmen alone! The typical variety of busy hotels and hotel areas in the 70 resort checked raised approximately 9.9 percent and site visitor arrivals by air enhanced by 14.3 percent.

Various other locations which fared effectively in hotel tenancy increase over 2009 consist of Nuevo Vallarta with a boost of over 33 percent (the just location to out-perform Playa del Carmen’s rise), Acapulco boosted 23 percent, Los Cabos almost 20 %, and Guadalajara concerning 11.5 percent.

The typical number of rooms available in 70 locations was determined at 325,150, representing a rise of 3.8 % compared to 2009 and 7.2 % compared to 2008.

The high end attributes of resorts and hotels such as this one likewise contribute considerably to the area’s way of living and photo, which are just one of the major tourist attractions; high-end and exclusivity are available for rates within range of the average budget plan.

W Kanai consists of a retreat center of 180 spaces, which shapes the facility of the hotel complex. The Great Venue of the meeting center will certainly be over 4300 square feet. The intricate consists of four hotels and a beach club. The hotel is situated really tactically, 10 km from Playa del Carmen and just 35 km from Cancun International Airport
In addition to Playa del Carmen, various other areas of the country continuously draw the focus of worldwide investment; Mexico City, for example, is getting its 2nd hotel in the W chain at the same time. Based on a business declaration, the W Santa Fe, located in the city’s newest economic district and upscale metropolitan area, will certainly belong to a brand-new mixed-use complex called Freedom Plaza. To buy real estate in Playa del Carmen visit this video here.