Uncle Kaveh

When we were kids, our parents told us not to spend more money than we need to, to save for a rainy day, etc. In particular, borrowing money was always a bad thing. Being in debt was frowned on. But in the last few years, those in the know, government, banks, and economists, have been encouraging the opposite: spend more and if you don’t have the money, then borrow so you can spend.

Now we know that our parents were right after all. They didn’t have PhD’s in Finance, but they had something more important, namely commons sense – if you ain’t got it, don’t spend it. Simple. Unfortunately not simple enough for these self-important experts who have gotten us into a big mess which we will have to pay for. We should have listened to our parents…

But beware – the experts are back. All the talk is to get to a situation where ordinary people and, especially, businesses, have the confidence to borrow again! Again? And why do banks have to borrow from each other? I’m lost, sorry.

I have run a successful business for 20 years. Except for an overdraft right at the start to buy a computer, I have never borrowed money. The business has grown slowly at its natural pace. People have offered to invest, and banks have offered to lend me money but I have refused, although sometimes tempted. We are now building our own offices, all paid for with cash. I am so glad I didn’t listen to the experts…