Tips to Avoid Bankruptcy
What do you tell the average American to avoid catastrophe in the crisis, the video asks Michael Lewis, American non-fiction author and financial journalist.
He quotes the prime minister of Iceland: “We all need to go fishing again. We need to stop banking, and start fishing.”
He says that one of the threads that runs through the last 30 years of American financial history, is the obsession of financial of ordinary people. The increased sense that they should devote their meaningful part of their existence to make money instead of doing what they do productively to make a living.
Symptoms of this, he says, is how the market moves around. It’s doing behavior that doesn’t lead to happiness. It’s like a Vegas mentality.
His first piece of advice is when thinking of savings, just think of it as preservation. Just trying not to make big money, little money.
His other advice is to never feel stupid to ask a question. If the markets conspire to make you feel stupid, don’t give in to it. If you don’t understand what the guy trying to get money from you is saying, do not hesitate to ask and say, “Could you please explain it to me again.”