What happens when the majority of households can't save

[letteredhub]

What would a people first government do in this case? Create social housing in order to lower market prices and make it more affordable? Mandate higher wages? Create more housing by giving more permits?

Only one thing can actually solve the whole problem together but the government will never ever tackle that problem because it’s what they use to control the citizens. It’s Inflation, Inflation is simply what is causing all of this problems because the price of things like building materials are increasing while the money that the intending builder receives is also not having enough purchasing power to cover for basic needs as well as havinv some remaining for savings.
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You can't believe that what has being found is that about 95% of the workers in these estate and building construction companies, their salary can't actually be able to afford the rents of the house they're building as labourers with those companies. The economic inflation has alienated them from what they're producing to the extend that they can't have reach of it because what they earn can even barely cover for the entire members of the family needs how much more to afford for a standard not so luxurious roof over head. Yet what the government care about is printing and borrowing of more money, raising debts and increasing inflation with their policies while the weight press heavier on the average citizen.

[Hamza2424]

What would a people first government do in this case? Create social housing in order to lower market prices and make it more affordable? Mandate higher wages? Create more housing by giving more permits?

No. We just see inaction. And this inaction of course only helps the large owners.

Inflation is high, even though some people are getting some relief, but in other countries, inflation is still high, because if people are not saving anything after the end of the month, then the inflation is really high. How will they survive, and how will they make it happen for them, like building a house, making a family? All this is motivating them not marry, not to own a house, everything is becoming more difficult.

Everyone has to do more than one job in the name of interest and their hobby and their love but the reality is no one wants to do more than one job, haha, I mean who are these people who say they love their second part-time job, I don't even love my first, I just have to do it for money blah, haha. Anyway, I was kidding, either we love it or not, we have to do it, otherwise life will be more hard like really hard.

[Dunamisx]

Sometimes the economy may not be smiling at us but we don't have to fully depend on it because the government is themselves are not working in such a way that the police in the economy running's should work in our favor, instead we have to also consider what we want for ourselves and then take responsibility and be fully engaged on what can lead to a sustainable living for us independently.

[sunsilk]

Sometimes the economy may not be smiling at us but we don't have to fully depend on it because the government is themselves are not working in such a way that the police in the economy running's should work in our favor, instead we have to also consider what we want for ourselves and then take responsibility and be fully engaged on what can lead to a sustainable living for us independently.

We have to take actions for ourselves and not rely so much to the government. They have a job to do and help their people but, we can't let them do all of the job to make ourselves better.

And that's why in a household, it should be taught that everyone should have their contribution whether if it's about the household income or even the household chores.

For as long as each of you is working and having their own tasks to be done in specific periods of time, your lives are going to be better.

[Cookdata]

What is the result of that? The people are now more than ever liquidating family owned property and businesses to just sustain themselves. Which turns out to be catastrophic for property ownership because it gets very centralised. Banks repossess properties en masse and foreign investors scoop it up also en masse. Locals end up opening less and less of their country's land every year.

What would a people first government do in this case? Create social housing in order to lower market prices and make it more affordable? Mandate higher wages? Create more housing by giving more permits?

No. We just see inaction. And this inaction of course only helps the large owners.

You have the answers and that's inflation. Life was tough before now, the earnings were low and inflation were there, what now changes? It's because inflation is higher than the way they were, we have economic policies that are hard due to the fact that government want to inflation beating down by large force and it's not working. The economy is getting harder, the pay are getting shrink and the standard of living is getting expensive, this is the new era we found ourselves fighting everyday.

Before, if you have two source of income, you are considered above an average earner. Some parents then will invest 1 income and use the remaining amount for other spending and with help of small loans from office, they build their houses and buy their dream car, this was the average rich life back then but I can assure that we have people doing 5 jobs today that don't have roof of their own. The ridiculous price isn't making houses affordable for an average person not to even build theirs and that's because price of building one is not affordable, again inflation.

[Fiatless]

We have to take actions for ourselves and not rely so much to the government. They have a job to do and help their people but, we can't let them do all of the job to make ourselves better.

And that's why in a household, it should be taught that everyone should have their contribution whether if it's about the household income or even the household chores.

For as long as each of you is working and having their own tasks to be done in specific periods of time, your lives are going to be better.

The government have the responsibility of creating a conducive environment for citizens and investors. In a country where there is insecurity, poor infrastructure, high taxes and corruption. The government should be blamed for not putting these important things in place. This is whycitizens of developed countries excel more than those in third world nations.

Anyway, citizens should do their best to find ways of overcoming these challenges and contribute to the development of the country.    

[sunsilk]

We have to take actions for ourselves and not rely so much to the government. They have a job to do and help their people but, we can't let them do all of the job to make ourselves better.

And that's why in a household, it should be taught that everyone should have their contribution whether if it's about the household income or even the household chores.

For as long as each of you is working and having their own tasks to be done in specific periods of time, your lives are going to be better.

The government have the responsibility of creating a conducive environment for citizens and investors. In a country where there is insecurity, poor infrastructure, high taxes and corruption. The government should be blamed for not putting these important things in place. This is whycitizens of developed countries excel more than those in third world nations.

Anyway, citizens should do their best to find ways of overcoming these challenges and contribute to the development of the country.    

There is no doubt that the people from a more developed country have a better standing in their financial life than of those who are living in the corrupt countries.

Without the help of the government, most households won't do well in their lives. And that's why major support from them is needed.

But we're all humans that have the instinct to survive and we find ways if there's no help coming from them.

[junder]

There are majority of people who don’t leave recklessly or lavishly and still, they find themselves at the bottom of everything in life, always struggling to meet up with essential needs to life. It’s truly difficult these days to meet up with essential needs and still manage to save from it. The inflation rate has become very alarming and with an economy that is constantly deteriorating, we would get to a point where people would turn back on civilization.

I understand that everyone's circumstances are different. Sometimes, even those who are working and earning an income only have enough to meet their basic needs, such as food, bills, and other necessities. Some even find that their income is insufficient to meet their needs. I understand this because life is hard, and I don't think that people in this situation don't want to work hard. Sometimes, life is just that hard, so they feel lucky to be able to survive even if they can only meet their basic needs.

[Fakhrulenclix]

There are majority of people who don’t leave recklessly or lavishly and still, they find themselves at the bottom of everything in life, always struggling to meet up with essential needs to life. It’s truly difficult these days to meet up with essential needs and still manage to save from it. The inflation rate has become very alarming and with an economy that is constantly deteriorating, we would get to a point where people would turn back on civilization.

I understand that everyone's circumstances are different. Sometimes, even those who are working and earning an income only have enough to meet their basic needs, such as food, bills, and other necessities. Some even find that their income is insufficient to meet their needs. I understand this because life is hard, and I don't think that people in this situation don't want to work hard. Sometimes, life is just that hard, so they feel lucky to be able to survive even if they can only meet their basic needs.

There are indeed many people whom we consider unlucky, and I am sure there are many like that in our environment. However, I still believe that if those people are willing to work harder, they can change their lives. Therefore, in my opinion, we should not just blame circumstances but must have strong motivation to earn more money and meet all our needs.

And it should be remembered that savings are very important, so we must have them and work harder to be able to fulfill them.

[m2017]

It used to be that while wages would never get someone rich at least it was possible to eventually buy some property after years of work. Be it at least a house. A house doesn't have any productive capabilities, it's just a roof by pure material standards.

Then the years turned into decades. We've now though reached a point where most people can't save anything.
New stats in Greece show nearly 90% of households can't even save a single euro after the monthly expenses.

What is the result of that? The people are now more than ever liquidating family owned property and businesses to just sustain themselves. Which turns out to be catastrophic for property ownership because it gets very centralised. Banks repossess properties en masse and foreign investors scoop it up also en masse. Locals end up opening less and less of their country's land every year.

What would a people first government do in this case? Create social housing in order to lower market prices and make it more affordable? Mandate higher wages? Create more housing by giving more permits?

No. We just see inaction. And this inaction of course only helps the large owners.

This could become a trend for decades to come, as home ownership (like cars and other large assets) will become the preserve of the wealthy (big companies), while the rest will have to rent (from the wealthy), as personal upkeep of a home (and land) will be expensive. A subscription model: as long as you pay, you can use it.

[Agbamoni]

They can control inflation, find initiatives that will create jobs and create an environment where it is easy for people to start up businesses.
In most countries, the two main reasons why people can't save are inflation and because they don't have jobs. Some people have jobs that earn good money, but inflation has eaten deep into the economy, so the money they make no longer has any purchasing power.
The government needs to invest heavily in the people and small and medium-scale businesses, and also make sure the cost of things are at reasonable.

Controlling inflation and market regulation is the solution to this problem. Creating more business and job opportunities is not the problem because if there is more money that you can't save, it means nothing. There are places where you earn less, but the cost of living is not so expensive, everyone leads an average life, not minding if they are rich or poor. Places like that, the inflation is controlled, so people who earn less or big can save a percentage. from their income.

[lizarder]

Sometimes the economy may not be smiling at us but we don't have to fully depend on it because the government is themselves are not working in such a way that the police in the economy running's should work in our favor, instead we have to also consider what we want for ourselves and then take responsibility and be fully engaged on what can lead to a sustainable living for us independently.

Not everything will go as we hope because sometimes we find ourselves in difficult economic situations. There's no need to rely on the government there's much we can do if we truly have the desire to change. There are many sources of income if we're willing, for example, how someone with the will to develop a chicken farming system ultimately saved them from economic hardship. Sometimes we're too ashamed to work in certain sectors because we assume they have no clear future, so that what we focus on doesn't give any results.

If pursued properly and managed correctly, the livestock, agriculture and plantation sectors have good long-term prospects as these three sectors are essential for human survival. If this goes according to plan, perhaps we can not only increase our savings but also improve our financial situation to be better than ever.

[TheUltraElite]

I am sorry to hear that our friends in Greece are having such problems with savings, assuming due to inflation. It is not same where I live, we can save a good amount of money if we cut down our costs and live a simple life. However a house is a necessity and in order lead a life where your family can grow and learn they need a house, a permanent one.

I dont believe in that renting crap, you pay rent only when you need a temporary residence for living somewhere, it is never something you do for years jumping from one place to another. It has a bad impact on the development of children and their education.

[Alpha Marine]

Controlling inflation and market regulation is the solution to this problem. Creating more business and job opportunities is not the problem because if there is more money that you can't save, it means nothing. There are places where you earn less, but the cost of living is not so expensive, everyone leads an average life, not minding if they are rich or poor. Places like that, the inflation is controlled, so people who earn less or big can save a percentage. from their income.

If handled properly, one way a government can control inflation is by creating an environment where businesses thrive, especially local businesses. When a country has to import everything, there will definitely be inflation in that country because the imported goods will be more expensive and will be easily influenced by the inflation of other countries (the countries they import from). But if the local business produces a lot of products that can take care of people in the country, the competition and low cost of production will help things not be too expensive.

Inflation is not controlled by simply saying "let inflation be controlled", it's by actually putting in the work and making policies that reduce the cost of goods and services.
Another way is to make sure the cost of transportation is as cheap as possible. And you can do that by making sure the price of petrol and gas is also as low as possible. That is why countries subsidise these products. Transportation is at the heart of the economy. If the cost of transportation is high, it will affect the price.
I've seen cases where farmers have to spend so much money just to transport their goods from their farms to the market, and some of these goods are perishable goods. What do you think will happen to the prices of these products in the market?

Controlling inflation is a conscious effort that requires almost all factors of the economy to work. It's not by increasing or reducing taxes alone. You can't be importing almost everything and expect not to be affected y inflation.

[Royal Cap]

Women are asking for gender equality so they can apply for jobs that were previously dominated by men. In my workplace, I used to see only men filling laboratory positions, but now more women are filling in those roles as well. This is also happening in other cases. When a household lacks of money the wife will look for a job to cover that gap. From what I have observed, when both partners have jobs, they tend to have a decent life, they can own proper vehicles, have a house and afford to raise a child, etc.

It is true that the rising cost of daily needs is putting serious pressure on household budgets. Waiting for the government to solve the problem will make us hopeless, so many people choose to look for better jobs for themselves or for their household instead. From what I have read about Greece, they are facing increasing daily living costs that are not matched by salary growth, well this is happened in my place too which may eventually cause a gap between income and expenses.

I think this change has come with changing realities. Now not only because of rights but also because of necessity, many women do not feel it is possible to stay out of work. We are all feeling this more or less that running a family is no longer possible with one person's income, I personally think that if there are two incomes, there is much less pressure in the family, and there is less worry about the future. Therefore women's advancement in the workplace is not only a question of equality it is also a matter of survival, Many times nothing changes if you look to the government, so people are looking for work to strengthen their position. I think this reality is slowly reshaping society.

[Coyster]

Everyone has to do more than one job in the name of interest and their hobby and their love but the reality is no one wants to do more than one job, haha, I mean who are these people who say they love their second part-time job, I don't even love my first, I just have to do it for money blah, haha.

Multiple physical jobs can take its toll on the person, it can be a lot jumping from one place of work to the other. That is why i like a second job to be something one can do over the internet, maybe utilizing a skill you have, running an e-commerce website or other whatnots. If it is something you can structure to your own timing and advantage, then it would not be as draining as multiple brick and mortar jobs and it can settle some of your bills.

[Findingnemo]

Governments won't do anything because they will be happier if their people are spending upto their last penny of their salary which will boost the economy, growth and all the stats for the government.

And this is happening also due to the lifestyle inflation, back in the day people know how to live with whatever they had but now even the middle class wants to enjoy everything so they take loan, use pay later, credit cards and just live their life entirely on the debts, social media also manipulating the users and encourage them to spend more rathaer than saving it for future with a tag line of "life is too short and we live once".

[silpersurfer]

This is quite interesting, and in reality, owning property at this time is just a pipe dream. Most people cannot live without a job. I mean, people work for years, but they cannot afford to be unemployed for even a month. That's because they don't have enough savings to survive even a few months. Almost every family now lives from paycheck to paycheck. And this is not only because of poor family financial management, but also because the salaries they receive are not commensurate with the costs required to meet their family's needs. So, maybe it's not just a matter of being able to set aside money and save, but even meeting family needs is sometimes not enough and forces them into debt. At this point, almost everyone depends on their job to earn money, and I never imagined that AI and robotics technology would slowly replace human jobs in several sectors. I can't imagine what would happen if there were mass layoffs; who knows how many people would be crying out in hunger.

Returning to the original question, if your family has no savings, then your family is in danger.

[slapper]

Controlling inflation and market regulation is the solution to this problem. Creating more business and job opportunities is not the problem because if there is more money that you can't save, it means nothing. There are places where you earn less, but the cost of living is not so expensive, everyone leads an average life, not minding if they are rich or poor. Places like that, the inflation is controlled, so people who earn less or big can save a percentage. from their income.

If handled properly, one way a government can control inflation is by creating an environment where businesses thrive, especially local businesses. When a country has to import everything, there will definitely be inflation in that country because the imported goods will be more expensive and will be easily influenced by the inflation of other countries (the countries they import from). But if the local business produces a lot of products that can take care of people in the country, the competition and low cost of production will help things not be too expensive.

Inflation is not controlled by simply saying "let inflation be controlled", it's by actually putting in the work and making policies that reduce the cost of goods and services.
Another way is to make sure the cost of transportation is as cheap as possible. And you can do that by making sure the price of petrol and gas is also as low as possible. That is why countries subsidise these products. Transportation is at the heart of the economy. If the cost of transportation is high, it will affect the price.
I've seen cases where farmers have to spend so much money just to transport their goods from their farms to the market, and some of these goods are perishable goods. What do you think will happen to the prices of these products in the market?

Controlling inflation is a conscious effort that requires almost all factors of the economy to work. It's not by increasing or reducing taxes alone. You can't be importing almost everything and expect not to be affected y inflation.

Local production, cheaper transport, subsidies... Why doesn't it just happen? Because it's political. Always political. Building domestic industry is a generational work. Who does that anymore? Politicians need quick wins. Voters are looking for immediate relief.

And fuel subsidies. You start subsidizing you can never stop. Try taking that subsidy away once people have gotten used to cheap gas. Political suicide. So governments just keep on bleeding money.

The farmer example though. Someone grows food locally. Doesn't have infrastructure nearby, so it has to transport it a long distance. Meanwhile imported stuff is cheaper in supermarkets because the distribution for imported goods was built decades ago. Backwards. Completely backwards.

Most countries missed out on industrialization. That ship sailed. You can't just make the decision to have local production capacity. You had to start that process 30 years ago.

Inflation control is not technical. It's about who loses. Every policy has losers. The question is if those losers have enough power to block it. Usually they do.

[Yeesha]

What would a people first government do in this case? Create social housing in order to lower market prices and make it more affordable? Mandate higher wages? Create more housing by giving more permits?

Only one thing can actually solve the whole problem together but the government will never ever tackle that problem because it’s what they use to control the citizens. It’s Inflation, Inflation is simply what is causing all of this problems because the price of things like building materials are increasing while the money that the intending builder receives is also not having enough purchasing power to cover for basic needs as well as havinv some remaining for savings.

How can someone save when they can barely eat, you will see the goods and services going 3x or more and at the end of the day you see the government actually saying they increase the wages or salary of the citizens by 50%, how does this actually balances up. A family can be spending just $80 from the total $100 earning of the family and then struggle to save $10 or $20 for a house which actually can get built with $1k in the past only for the inflation to come and the price of basic goods to buy actually increases to maybe above $200 for the family, how can they save up when they are feeding from hand to mouth? I doubt and that’s the reality of life currently

You've just stated the exactly point where the problem is coming from. Government has failed to tackle the main problem. Let me not even go deeper because it pointless to do so, because whatever am going to say now, a lots of people have said it before and that still doesn't solve our problems. The leaders feel superior and failed to collide with the citizens in order to solve the problems that we are facing now in the economy. A lot of things are failing woefully, because the leaders are not willing or ready to mind their ways and amend the things that need amendments.

Saving is actually a good thing, because they might be useful to them in future. But, imagine someone that is earning a little amount of money and have many responsibilities on their shoulders, how will he intend to save, when he is deadly in need of money. He will only have this opportunity if he is going to ignore the responsibilities he has on his shoulder, which is very wrong.. So I think the best thing to do in this situation is to let go of saving, and focus on his responsibilities.