Rich begin feeling the pain in down economy

From the AP via the Houston Chronicle:

The rich are sharing your financial pain — and contributing to it.

It may have taken longer and it may not be as acute, but there are early hints that the economic slump is crimping the lifestyles of the wealthy.

They are investing more conservatively, spending less on luxury goods and are being more thrifty with their credit cards. Many are asking their personal shoppers and private-jet travel providers to seek the best deals rather than over-the-top extravagances.

That news may produce a shrug from many people who have lost their jobs or homes in this economy. The problem is that when the wealthy get stingy, it trickles down to the rest of us.

And

Luxury spending fell 4 percent last year, and this year's decline is expected to be steeper, particularly for luxury handbags and clothing that don't hold value, Unity Marketing President Pam Danziger said.

"We face a very different environment for luxury indulgence in 2008 as compared to 2007," said Danziger, who predicts "a very difficult marketplace for luxury goods over the next five years."

For most Americans, the choice has been whether to give up small indulgences, such as eating out or going to the movies, to help defray the rising cost of food and fuel.

For the wealthy, the choices have been different.

"People are examining, 'Do you keep the yacht, do you go to the classic car auction, do you take the private jet?'" said Joseph Montgomery, managing director of investments at Wachovia Securities. "Those sound like nice problems to have, but at the same time, they are issues."

More here.

Oh my.

Really, of course, I just don't give a shit if the rich are unable to maintain their yachts. To some extent I actually blame them, as a class, for supporting the absurd laissez faire economic policies of the Bush administration that have gotten us into the fine mess we're in now. I mean, cutting taxes for the rich, all the time, always, making the economy better. That's just bullshit. Fuck 'em. No yachts. That's what they get.

What would be nice is seeing rich people dumpster diving for dinner. That's what they should get. Shit for supper. It's what they've been ramming down our throats for years.

I like the way the article tries to tie the economic fate of the American masses to the plight of the rich. I mean, that's just funny. It's also a straight-up lie. We're not really talking so much about strategic investment here as we are about consumption. I mean, okay, it might be one thing to write an article about how the wealthy have stopped investing, but that's not what this article is about. It's talking about the luxury goods market, and the vast majority of American workers have little to do with that. Of course, some workers do indeed very much depend on luxury spending for their paychecks, but relative to the overall domestic economy, this is a pretty small sector. There is actually very little "trickle down" effect from yachting, or expensive jewelry, or high end furniture, or fine art. It's just too small of a market.

What I really want to know is why the fuck this AP reporter even tries to make the argument. It's not like he has his own Learjet. Stupid media whore.

$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$