To qualify for this 'Debt Jubilee' their debt must be lower than 35,000 kina which is around $5,000 and their monthly income mustn't exceed 1,250 kina, about $138. And those able to take advantage of their government's generosity will not own any property or have any savings.
Their debts are owed mainly to banks and utility companies and it's expected that the debt jubilee will cost Croatia around $4 billion but on the plus side instead of the majority of the poor's income going to money lenders, it will go to local shops and the boost in retail spending will cause a ripple effect which will increase profits and the government's tax revenues. Very clever.
It's said that going into debt is a way of mining the future for wealth. It may also mean that eventually there is no future...
This is the two thousandth blog post.
"Their debts are owed mainly to banks and utility companies..."
ReplyDeleteBoy does that sound familiar.
Good on Croatia. I would hate to have to live on so little money. They must all grow their own food.
ReplyDeleteI understand that Mortgages are mining the future for wealth.
I am not sure if I understand that that could mean there is no future.
Could you please explain what you mean by that cryptic comment? Thanks.....Jennybee
Living on a small amount of money is ok if there is no debt and a person lives within their means.
DeleteIf a person uses all their savings,assets or earnings to service their debts, they will have nothing for their future needs...
Congratulations on your 2000th post. All of them extremely interesting and entertaining. I'm looking forward to see the next 2,000
DeleteThanks Keith.
Nicole XOX
Circular logic being logical! 2000 blog posts, a mighty big number of times you've informed and entertained a whole lot of folk.
ReplyDelete