An article on CNN's web site this morning features the view of an economist from the University of Virginia, who sees the current financial mess as a "perfect storm" of money woes, created over the past decade and more by folks eager to make money by nothing more than making money. According to Peter Rodriguez, people investing in the housing market at its peak found new ways to increase their profits, while also increasing the chances of a meltdown.
Rodriguez reviews the run-up to the crisis, coming by a wild increase in housing prices and a decline in interest rates. As he puts it, "This encourages all sorts of risky behavior by individuals looking to buy homes, and it encourages banks to lend because, in an environment where prices rise, they're making lots of money." The whole house of cards finally collapsed when enough risky loans had been made to people unable to keep up the payments, and banks had more money out in bad loans than they could support in cash.
Now the storm keeps on stormin', and millions of ordinary people who would never think about risky investments are having their own bank accounts wiped out. It certainly brings to mind the Bible's warning about the "love of money", which is "a root of all kinds of evil", and sets men up for "foolish and harmful desires" (1 Timothy 6:9-10) Too bad more investors didn't read that first. But then, greed and love of money, like all sins of the heart, can blind a person to the consequences of his actions, so that such drastic outcomes are seen as something that only happens to "other people", or "careless people" or something.
Where this will all lead, with various bail-out measures and stimulus plans, etc., is hard to say, even for the experts. But no one seems to be talking about changing, not just the way banks are regulated, but the way the human mind should be regulated by the Word of God. Until a person experiences a true inner renewal, not of religion, but in the core of his heart and desires, the lure of easy money and the "American dream" will continue to deceive some people into taking their chances with a fast buck. Too bad it isn't just their luck that went bad, instead of bringing a whole bunch of bad luck to the rest of us.
Thursday, January 29, 2009
Tuesday, January 20, 2009
A new day in America?
Many are hopeful, even in a euphoric way, that today is the beginning of a new day in American politics and national well-being. A new president has taken the reins of government, full of promises to bring a change in the business of the country, and has committed himself to serving all Americans.
These are fairly standard phrases for a man who's just taken over what is perhaps the biggest job in the world; one who knows that people are longing for good news and hopeful words. And it may well be that Mr. Obama has the support of Congress, and of enough of the American people, to make good on his campaign vows to effect the kinds of change a majority of citizens want to see.
Whether the changes will be beneficial ones, whether the massive problems awaiting him will yield to his wisdom, whether the country will be better off in four years, all remains to be seen. And whether the effects of all this will make America a more godly nation is a question that seems more in doubt than whether the economy will rebound under Mr. Obama's leadership; given the tone of his pledges to overturn certain policies of the previous administration that were widely supported by evangelicals.
Either way, churches of all theologies and philosophies have a common command: to pray for our new president, as for his entire government, that God may give the wisdom that doesn't come by way of political experience or sub-committee meetings. If God required the early church to obey the Roman authorities, as powers ordained by God to keep order in the world (Romans 13), and if God commanded Christians to "honor the king" that was in power at that time (1 Peter 2), then He certainly would have us lift up our current leaders in prayer.
And beyond praying for divine guidance for these men and women, let us rejoice that our King is still on the throne, and has promised to bring His administration of grace and righteousness to this world, in His time and in His way. And that's not just election talk!
These are fairly standard phrases for a man who's just taken over what is perhaps the biggest job in the world; one who knows that people are longing for good news and hopeful words. And it may well be that Mr. Obama has the support of Congress, and of enough of the American people, to make good on his campaign vows to effect the kinds of change a majority of citizens want to see.
Whether the changes will be beneficial ones, whether the massive problems awaiting him will yield to his wisdom, whether the country will be better off in four years, all remains to be seen. And whether the effects of all this will make America a more godly nation is a question that seems more in doubt than whether the economy will rebound under Mr. Obama's leadership; given the tone of his pledges to overturn certain policies of the previous administration that were widely supported by evangelicals.
Either way, churches of all theologies and philosophies have a common command: to pray for our new president, as for his entire government, that God may give the wisdom that doesn't come by way of political experience or sub-committee meetings. If God required the early church to obey the Roman authorities, as powers ordained by God to keep order in the world (Romans 13), and if God commanded Christians to "honor the king" that was in power at that time (1 Peter 2), then He certainly would have us lift up our current leaders in prayer.
And beyond praying for divine guidance for these men and women, let us rejoice that our King is still on the throne, and has promised to bring His administration of grace and righteousness to this world, in His time and in His way. And that's not just election talk!
Saturday, January 10, 2009
The cost of not spending
Some years ago I first made an observation about the nature of our economy, an obviously consumer-driven system that thrives on businesses and industries catering to the buying public. Our prosperity is dependent on things that are made to be sold, and on people who buy those things, and on people whose jobs exist because stuff is made and bought. But making what people need is one thing; doing business in goods and services that are, to say the least, non-essential, is another.
This morning's news included a story on the economic conditions in Las Vegas, a mecca of non-essentiality if there ever was one. Of course, there's lots of regular folks there, such as some of my wife's relatives, who say they rarely go to the more well-known part of the city. Yet, they and other citizens are affected by the fact that Las Vegas has seen a large decline in gambling traffic to its many casinos.
That in turn has hit hundreds of casino employees who have been laid off, and the construction workers whose projects have been cancelled, and the transit workers who have less customers to carry, and the grocery stores who have less people buying anything but the essentials, and on and on.
What began as a credit and payment problem in the mortgage industry, leaving many people in foreclosure and many banks in bankruptcy, has become a general economic problem to companies like automakers that have nothing to do with mortgages and risky lending practices. Just the fact that people are spending less on non-essentials is having a rippling effect that might make the depression of the 30's look like a temporary downturn.
And this affects even those whose religious outlook leads them to a relatively contented lifestyle; people who make do with something old rather than replacing it with something new just because it's new. Even people who would never go near a casino will be affected by the closure of gambling businesses, because they employ people who won't have money to buy the products of companies who will go out of business and make more employees unable to buy more companies' products.
The Bible warned us long ago that greed, lust, materialism and love of money have a dangerous price tag, and lead people into "foolish and harmful desires." Prosperity seems, for most people, too much like a good thing to become a bad thing. But that which is currently ruining our nation's economy seems like a by-product of too much prosperity, too fast; enticing too many people with too many promises and too little reality. Too few people with real wisdom and godly contentment.
It was probably just a matter of time that this house of cards would collapse. The only good news in this has nothing to do with bail-out plans or tax cuts, but with the fact that God never goes out of business as the One who can make good come to those who love Him, using "all things", including the most economically bad news our country has seen for a very long time.
This morning's news included a story on the economic conditions in Las Vegas, a mecca of non-essentiality if there ever was one. Of course, there's lots of regular folks there, such as some of my wife's relatives, who say they rarely go to the more well-known part of the city. Yet, they and other citizens are affected by the fact that Las Vegas has seen a large decline in gambling traffic to its many casinos.
That in turn has hit hundreds of casino employees who have been laid off, and the construction workers whose projects have been cancelled, and the transit workers who have less customers to carry, and the grocery stores who have less people buying anything but the essentials, and on and on.
What began as a credit and payment problem in the mortgage industry, leaving many people in foreclosure and many banks in bankruptcy, has become a general economic problem to companies like automakers that have nothing to do with mortgages and risky lending practices. Just the fact that people are spending less on non-essentials is having a rippling effect that might make the depression of the 30's look like a temporary downturn.
And this affects even those whose religious outlook leads them to a relatively contented lifestyle; people who make do with something old rather than replacing it with something new just because it's new. Even people who would never go near a casino will be affected by the closure of gambling businesses, because they employ people who won't have money to buy the products of companies who will go out of business and make more employees unable to buy more companies' products.
The Bible warned us long ago that greed, lust, materialism and love of money have a dangerous price tag, and lead people into "foolish and harmful desires." Prosperity seems, for most people, too much like a good thing to become a bad thing. But that which is currently ruining our nation's economy seems like a by-product of too much prosperity, too fast; enticing too many people with too many promises and too little reality. Too few people with real wisdom and godly contentment.
It was probably just a matter of time that this house of cards would collapse. The only good news in this has nothing to do with bail-out plans or tax cuts, but with the fact that God never goes out of business as the One who can make good come to those who love Him, using "all things", including the most economically bad news our country has seen for a very long time.
Sunday, January 4, 2009
Back to real life?
Another holiday season has come to an abrupt end, leaving us back where we began, and maybe worse. At least before the annual rush to prepare for extra meals, extra guests, extra parties, we were enjoying decent weather. Now it's the gray, cold days of winter. Bummer!
Well, if that's a bit of your feelings, you're apparently in a large group, and there are many web sites and experts waiting to tell you how to deal with "post-holiday blues." And some of it will affect people just because of the physical and psychological effects of going quickly from a period of celebrations and festive atmosphere to the normal, stripped down world of everyday business and household chores. That alone is enough to bring down our emotions.
But there's a lot more to the holidays than festivities. The expectation of pleasant times with friends and loved ones raises the emotions of most people who associate these days with the kind of happiness that isn't consistently available from the day-to-day routine of life. After a higher-than-normal diet of such gaiety, the relative drabness of January stands in stark contrast.
While this yearly adjustment is to some extent necessary for us all, how fortunate are those whose joy is a result of the presence of God within, rather than the excitement of external events and special days. Those who know the Savior as a daily Friend and Master are not dependent on extraordinary things for the uplift of their souls and emotions. Those who obey the Bible's instruction to "rejoice always" are able to live on a steady plane of personal peace and contentment, regardless of what page their calendar is turned to.
The start of a new year is, for many people, the end of happiness until the next holiday, though the stores are already full of suggestions for Valentines Day, to tide us over until mid-February. Instead, those who walk with the Lord of time and eternity can make every day a celebration of His grace and goodness, His gift of life, and that more abundantly.
Well, if that's a bit of your feelings, you're apparently in a large group, and there are many web sites and experts waiting to tell you how to deal with "post-holiday blues." And some of it will affect people just because of the physical and psychological effects of going quickly from a period of celebrations and festive atmosphere to the normal, stripped down world of everyday business and household chores. That alone is enough to bring down our emotions.
But there's a lot more to the holidays than festivities. The expectation of pleasant times with friends and loved ones raises the emotions of most people who associate these days with the kind of happiness that isn't consistently available from the day-to-day routine of life. After a higher-than-normal diet of such gaiety, the relative drabness of January stands in stark contrast.
While this yearly adjustment is to some extent necessary for us all, how fortunate are those whose joy is a result of the presence of God within, rather than the excitement of external events and special days. Those who know the Savior as a daily Friend and Master are not dependent on extraordinary things for the uplift of their souls and emotions. Those who obey the Bible's instruction to "rejoice always" are able to live on a steady plane of personal peace and contentment, regardless of what page their calendar is turned to.
The start of a new year is, for many people, the end of happiness until the next holiday, though the stores are already full of suggestions for Valentines Day, to tide us over until mid-February. Instead, those who walk with the Lord of time and eternity can make every day a celebration of His grace and goodness, His gift of life, and that more abundantly.
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