Want to Help the Economy? File Bankruptcy Now

I can only imagine the thoughts coming across your mind as you read this title. One of the policy considerations behind bankruptcy is the idea that bankruptcy is good for the economy. What? How can this be true? Let me ask you a simple question; do people who are suffering from enormous debt purchase things? No, they do not. They don’t purchase things because they cannot afford to purchase anything because most of their net income goes to service their debts.

If people with enormous debts are not purchasing things that is bad for the economy. It’s bad for the economy because less purchases of goods and services means less demand for labor to produce those goods and services and fewer people employed who also then have no buying power. 

Now consider the reverse. If this family filed bankruptcy and got rid of their debt would they be likely to purchase more goods and services? Yes. Why? Because they now have more net income available to purchase goods and services since they are not servicing debt. I realize this is a bit of a crazy notion but it is 100% true. We, as a society, do not want people bogged down in debt and unable to purchase goods and services. Instead, we want people to purchase goods and services to employ more people who then make money to go and purchase even more goods and services. It is a circle. 

So, one of the policy reasons for people filing bankruptcy is to release their buying power again to promote a healthier economy. So if you are in debt up to your eyeballs, help the economy and file bankruptcy now. 

Call Now for a Free Strategy Session from a MN Bankruptcy Lawyer at Kain & Scott

     When the time is right, or when you are ready to get your life back and help the economy, reach out to Minnesota’s LARGEST bankruptcy law firm at www.kainscott.com. You will be so happy you did!

A Word from a MN Bankruptcy Attorney, Wesley Scott