Independent, Fee-Only Financial Advisor

Independent, Fee-Only Financial Advisor

Thursday, September 26, 2013

Bermuda Blues

The Academy of Business Education had their annual conference in Bermuda. It was such a burden for me to pack up my Bermuda shorts and head to the island for a cool, summer breeze. When all was said and done, though, I decided it was a nice place to visit, but I wouldn't want to live there.

Don't get me wrong! It's breathtakingly beautiful. The island was created by a volcano. It is long and narrow with fish hooks of land masses at either end. The result is a set of protected beach coves with rock sculptures in the water. Stunning!
 

The temperature is perfect! Highs in the low 80s and lows in the mid-70s. What's not to like? Right?

There are only about 65,000 permanent residents on the island, and there is nothing (and I do mean nothing) nearby. Everything is incredibly expensive. All goods must be shipped in. Real estate is mostly inherited. Buying your own property requires millions. You either work for the government, or you work in the resorts. Opportunity is limited.

Each household is limited to one 4 cylinder car. Many people travel by scooter. Gasoline is about $9 a gallon. There are only 3 main roads on the island: North Shore Road, South Shore Road, and Middle Road. They are narrow, with some bordering on the wall of someone's house or garden. Traffic is always brisk. Sidewalks are almost nonexistent. Rental cars are not available. Travel by bus or ferry is the main option for getting around the island. We didn't realize how spoiled we are!

So, we were glad to take that flight back across the water to the good ole USA. We came back to big grocery stores with reasonable prices, gasoline just over $3 a gallon, and two cars in our garage. How decadent we Americans are!

Final GDP numbers for the second quarter came out this morning. They were a tepid 2.5%. Weekly unemployment claims continue to fall. So, it's not great news, but it's improving news. And I'll take slow in the US over Bermuda any day!