In today’s world, personal debt has become popular and a pressing concern in society. This essay will discuss the issues and suggest potential solutions. One major problem is that financial strain in economic world, the inflation of goods become higher, while the income of people low. For people on job low salary, they go from pay cheque to pay chaque in order to fulfill their basic needs. This results to cover expanding, people borrow money. For instance, workers in Indonesia get minimun regional wage which can cover only for one person’s needs. However, the wage is used for family consist of 3-4 people.
To overcome these challenges, several steps can be taken. Govenments can raise salary hand in hand with the gain of goods price. In indonesia, for example many citizens failed to pay the debts because of economic situations. Additionally, individuals should learn to manage their spending and calculate risk factors that influenced their expanses.
This has proven effective in reducing debt demand.
In conclusion, although personal debt can help some people to cover their needs, it can be resolved by increasing regional wages and educating people to learn money management. Both government and individuals must act together.