Comments on: The Wealth Effect | What it is and How to Avoid it http://GenYwealth.com/the-wealth-effect Personal Financial Planning Made Simple Sat, 31 Jul 2010 01:22:33 +0000 hourly 1 http://wordpress.org/?v=3.0 By: Slinky http://GenYwealth.com/the-wealth-effect/comment-page-1#comment-185 Slinky Fri, 05 Mar 2010 16:17:09 +0000 http://GenYwealth.com/?p=967#comment-185 I also do not include assets like cars and homes for the reasons you listed. What is something worth if you refuse to sell it? Nothing! I also do not include assets like cars and homes for the reasons you listed. What is something worth if you refuse to sell it? Nothing!

]]> By: Ken http://GenYwealth.com/the-wealth-effect/comment-page-1#comment-150 Ken Fri, 05 Feb 2010 02:22:06 +0000 http://GenYwealth.com/?p=967#comment-150 Just like the recession caused folks to start saving (for a change)..an increase in wealth can lull one into overconfidence....I hope what I've learned during the recession continues as it moves behind us. Live on less than you make...a simple directive. .-= Ken´s last blog ..<a href="http://www.moneymakingsense.com/?p=196">Weekend Roundup</a> =-. Just like the recession caused folks to start saving (for a change)..an increase in wealth can lull one into overconfidence….I hope what I’ve learned during the recession continues as it moves behind us. Live on less than you make…a simple directive.
Ken´s last blog ..Weekend Roundup My ComLuv Profile

]]> By: RJ http://GenYwealth.com/the-wealth-effect/comment-page-1#comment-149 RJ Thu, 04 Feb 2010 21:49:52 +0000 http://GenYwealth.com/?p=967#comment-149 Agreed Kyle. It makes you feel good at first, but in the long run it's more accurate not to. Agreed Kyle. It makes you feel good at first, but in the long run it’s more accurate not to.

]]> By: Kyle C. http://GenYwealth.com/the-wealth-effect/comment-page-1#comment-148 Kyle C. Thu, 04 Feb 2010 03:56:23 +0000 http://GenYwealth.com/?p=967#comment-148 I agree completely. I also choose to exclude my home from my net worth, mainly because it really produces no income and therefore has no real worth to me. Other than being a place to hang my hat. .-= Kyle C.´s last blog ..Review – Crush It! (VIDEO) =-. I agree completely. I also choose to exclude my home from my net worth, mainly because it really produces no income and therefore has no real worth to me. Other than being a place to hang my hat.
Kyle C.´s last blog ..Review – Crush It! (VIDEO) My ComLuv Profile

]]> By: Walter http://GenYwealth.com/the-wealth-effect/comment-page-1#comment-147 Walter Thu, 04 Feb 2010 00:29:04 +0000 http://GenYwealth.com/?p=967#comment-147 The wealth effect, I've always been victimized by this and I have to lend money to pay for this mistake. It took me time to realize this error. Now, through experience, I know what it means. :-) The wealth effect, I’ve always been victimized by this and I have to lend money to pay for this mistake. It took me time to realize this error. Now, through experience, I know what it means. :-)

]]> By: RJ http://GenYwealth.com/the-wealth-effect/comment-page-1#comment-146 RJ Wed, 03 Feb 2010 20:02:41 +0000 http://GenYwealth.com/?p=967#comment-146 @ Steven - Great point. High inflation can also cause to perceive wealth in a different way. Economics isn't my best asset. Thanks for bringing that up. @ Steven – Great point. High inflation can also cause to perceive wealth in a different way. Economics isn’t my best asset. Thanks for bringing that up.

]]> By: Craig http://GenYwealth.com/the-wealth-effect/comment-page-1#comment-145 Craig Wed, 03 Feb 2010 17:05:01 +0000 http://GenYwealth.com/?p=967#comment-145 Agree, that money should not even be looked at, same with long term savings. I don't even consider that real money, more fictional paper money that means nothing right now unless it was actually in my bank account. .-= Craig´s last blog ..<a href="http://blog.budgetpulse.com/2010/01/30/interview-about-budgetpulse-with-mr-cc/">Interview about BudgetPulse with Mr. CC</a> =-. Agree, that money should not even be looked at, same with long term savings. I don’t even consider that real money, more fictional paper money that means nothing right now unless it was actually in my bank account.
Craig´s last blog ..Interview about BudgetPulse with Mr. CC My ComLuv Profile

]]> By: Steven | The Emotion Machine http://GenYwealth.com/the-wealth-effect/comment-page-1#comment-144 Steven | The Emotion Machine Wed, 03 Feb 2010 14:09:45 +0000 http://GenYwealth.com/?p=967#comment-144 Very important advice. How we perceive our wealth plays a crucial role in how we behave with our assets. One thing you didn't mention, it is actually a little more economics related, but when the government inflates the currency (by pushing more dollars into the system) we also perceive ourselves as being more "wealthy," but really the value of each dollar has gone down so we haven't increased our wealth at all. It is important to watch out for this. Over the past year, the United States has almost doubled the amount of dollars - MANY Americans are going to think they have more money but its just a facade. .-= Steven | The Emotion Machine´s last blog ..<a href="http://www.theemotionmachine.com/mindful-risk-taking-in-life-and-in-business">Mindful Risk-Taking: In Life And In Business</a> =-. Very important advice. How we perceive our wealth plays a crucial role in how we behave with our assets.

One thing you didn’t mention, it is actually a little more economics related, but when the government inflates the currency (by pushing more dollars into the system) we also perceive ourselves as being more “wealthy,” but really the value of each dollar has gone down so we haven’t increased our wealth at all. It is important to watch out for this. Over the past year, the United States has almost doubled the amount of dollars – MANY Americans are going to think they have more money but its just a facade.
Steven | The Emotion Machine´s last blog ..Mindful Risk-Taking: In Life And In Business My ComLuv Profile

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