There’s a popular notion in Keynesian economic theory known as “The Paradox of Thrift (or Saving).” Since Keynesian economics focuses on Gross Domestic Product (GDP) — which is, frankly, a measurement of spending — saving money is paradoxical because it lowers GDP due to consumers not spending it.
The reason why economists care so much about GDP is because it’s an important indicator of where the economy is in a business cycle (boom or bust). When GDP constantly drops for a period of time, this is known as a recession. How exactly does saving money help shorten a recession?
Believe it or not, most people can start saving money with just one penny. The intuition is similar to Couch to 5K: Start with an insanely small amount and work your way up. Instead of nine weeks, this entire activity will take you a year to complete. If you follow the goals that I set for you, you will have saved over $1,700! The secret is simple: Literally start saving with just a penny. Continue reading →
There are a lot of arguments as to why people should live on campus. There are no utility bills to pay for, a meal plan, and you’re right there on campus so it takes a few minutes to get to class. At the University of Oregon (UO), the least expensive option that one has a chance of getting in to is over $11,000 per academic year. That’s over $1,200 per month and then there’s a fee to stay over winter break. There’s gotta be a better way to do this. You know what? There is!
Saving money by shopping? There’s no way! Actually, there really is a way to do it. It’s just by doing simple price comparisons. Everybody knows that name-brand products tend to be better. At least, that’s what we tend to think. In some cases, they’re similar if not exactly the same as house-brand or knockoff items.
Let’s take a quick trip to the grocery store and see what I would save by switching three common household items bought at the grocery store!
When it comes to saving money, there are many ways people have thought of to stretch their budget. Some use coupons, others use thrift stores, others go to dollar stores. While I, too buy a lot of things from the dollar store, there are many things that you should avoid like the plague. They always seem like a good buy, but trust me, they’re not. There are also a lot of things that are actually a pretty good deal from the dollar store as well.
Recently, I wrote an article about saving money. While the tips I gave in that article were mainly good for those who have just graduated from college, I decided that I should write about savings techniques for many of us. That is, those who are still in college. We scrimp. We save. No matter what we do, it always seems like we can’t save any money for anything we want or need. This may seem true, but I assure you that at least one of these tips will be helpful.
Often times, we will need to make a purchase and will want to pay as little money as possible. Our families sometimes teach us different skills when it comes to looking for good deals. One known tactic by grocery stores is to put the more expensive items on the shelf that is either most convenient or eye-level. Even though we learn many ways to find ourselves a really good deal, we need to ask ourselves deep down inside: Is this really a good deal? Below are some things that we tend to overlook and wind up either overpaying for or are discontent with what we bought. Whether it’s an oil change or a car, this is a good read. Continue reading →
I was thinking about gas prices and how they’ve just been soaring and fluctuating for no apparent reason and it’s getting annoying. One conclusion that I came to not too long ago was a thought about something else in the form of a question: How are many people able to go to college? No, I’m not proposing loans for gas. I think that we should consider an induced competition.
Many people would want to know if there’s going to be a new tax. I will be the first to say that there should not be a new tax to help cover this. Domestic drilling. Many people have already thought of this, but did they consider the possibility of the government stepping in and owning an oil well or two? I don’t think so. There are many potential positives from this kind of help. Continue reading →