Debt As The American Way | I've Paid For This Twice Already... http://www.paidtwice.com/2008/03/20/debt-as-the-american-way/#comment-20350 johnk Fri, 21 Mar 2008 08:12:32 +0000 http://www.paidtwice.com/2008/03/20/debt-as-the-american-way/#comment-20350 Are you guys forgetting "It's a Wonderful Life"? It was a battle of bankers, between the nice banker and the mean banker. People bought groceries on credit, even before credit cards, because stores gave credit. ALL stores gave credit to some people. For the rest, there was layaway. Debt is the American way, because we're a heavily capitalist society. The rule is simple: you will get not much more than you put in, and you will pay for everything individually. What you pay for, you own. Debt is the way this ethos can be preserved, when it's impossible for people to always have enough money to purchase things. In a heavily socialist society, it's very different. Education is paid for in common. Sometimes, housing is paid for partly in common. Medical care is often paid for in common. Taxes are high, and how much you get out of the system depends on how much of the services you can consume. Debt, however, is lower because you're not paying off a student loan, or high rents, or medical debts. Are you guys forgetting “It’s a Wonderful Life”? It was a battle of bankers, between the nice banker and the mean banker. People bought groceries on credit, even before credit cards, because stores gave credit. ALL stores gave credit to some people. For the rest, there was layaway.

Debt is the American way, because we’re a heavily capitalist society. The rule is simple: you will get not much more than you put in, and you will pay for everything individually. What you pay for, you own. Debt is the way this ethos can be preserved, when it’s impossible for people to always have enough money to purchase things.

In a heavily socialist society, it’s very different. Education is paid for in common. Sometimes, housing is paid for partly in common. Medical care is often paid for in common. Taxes are high, and how much you get out of the system depends on how much of the services you can consume. Debt, however, is lower because you’re not paying off a student loan, or high rents, or medical debts.

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