CBC reported today that RRSP contributions are going down and that trend is expected to continue. Economists are worried because it means less funds out there in the world to play with, for people to borrow against etc. Now don’t get me wrong, I know this may mean increased interest rates etc. but let’s look at it another way – if the powers that be are playing with my investment money and making money off it but I’m making less than peanuts – or worse, taking a loss as happened last year with one of our investments – why would I keep putting money into that and not put it into things like… paying down my mortgage so I rely on interest rates less? What is wrong with us that we go into debt to try and make more money instead of just paying off what we have and no longer relying on this financial system which has repeatedly shown itself to be in a complete mess?
Am I missing something?