ST Alpha - "Can you explain that again, but this time so you actually sound like you know what you're talking about?" (Reading a Post)

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Can you explain that again, but this time so you actually sound like you know what you're talking about?

Posted by znufrii Jul 1 '09, 14:10

Paying down debt is consumption? Rather, I would think consumption is what got you into debt in the first place.

Savings rate = income - spending.

I see no meaningful difference whether a positive result in that equation is invested in stocks, or used to pay off debt.

Responses:

I will attempt (but please someone correct if I get it wrong). - loosilu Jul 1, 14:12 8
- what you're describing seems to be to be a distinction without a difference. - znufrii Jul 1, 14:18 6
  - yikes. Well, - loosilu Jul 1, 14:18 5
    - what, exactly, am I missing? -- nm - znufrii Jul 1, 14:22 4
      - in one you gain, in the other you lose. - loosilu Jul 1, 14:23 3
        
        So, I'm losing money by paying down debt? -- nm - znufrii Jul 1, 14:29 2
        
        no. - loosilu Jul 1, 14:31 1
        
        but that was assumed - znufrii Jul 1, 14:40
- or another way to say it... - loosilu Jul 1, 14:13

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Can you explain that again, but this time so you actually sound like you know what you're talking about?

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