The Economy

I am aware that there are some very rotten things going on in our economy right now. I read the newspapers, Newsweek and catch a few articles on the Internet. However, I'd honestly have a hard time finding how it's affected our everyday lives. We're still shopping the same way, we still have a roof over our heads and two cars in the garage. We're not planning any major purchases but I don't think it's because of the economy, I think it's just that we don't really need any big purchases (knock on wood). I think the only change we've considered is buying regular instead of organic eggs (I nixed that idea).I mean, we've talked about how we have to spend less but I haven't seen anything concrete come out of that.

Part of the problem is that we don't have a budget in place so we have no idea where the money goes. It's hard to know where to make cuts when you're not sure what you're spending. Also, we tend to nickel and dime ourselves into debt. I didn't really need new pants but I spent $25 on two pairs for me and a dress for my daughter. Not necessary, but I couldn't pass up that bargain. However, that's $25 we could've spent on something else or saved up. At least that's the way I see it.

We're not taking vacations (haven't had more than a three-day getaway anywhere for four years), we're not buying a new TV or computer or something like that. Ok, we bought a new car last year and a new couch and chairs this year but those really were necessary (old couches were over forty years old and the two-door coupe wasn't practical with two kids) and we did try to get the lowest price we could on those. I guess I'm confused because we talk about how we have to tighten our belts and all but then my husband overspends on gifts for me for our anniversary (c'mon, am I really going to complain about that?) and spends astronomical amounts at the grocery store.

It's not only us. Everyone in this area is really well-off and do not seem affected by the economic crisis. I haven't seen any foreclosures, there are new stores being built (including luxury ones), and people are talking about planning vacations and other extravagances. The parking lot at Whole Foods Market is always packed and people are still driving shiny new Mercedes.

It's kind of embarrassing to talk about this because I know that there are people who have lost their jobs, homes and are trying to decide between buying groceries or paying for prescriptions. So, this all has to be real but right now it seems so distant from me. Am I just ignorant of our financial situation? Am I going to wake up to a nightmare one of these mornings? I'm really trying to think of where to make cuts but it's hard to enact sacrifices when I'm not sure if there's even a point in doing so.