Are you tired of all the media hype over the “recession”? Are you really that worried about your job? Your house and well, everything else? Sometimes we just need a little “perspective” to avoid being sucked down the well-oiled Media Machine Hole of Eyeballs.
Perspectives to Keep In Mind:
1. We are nowhere near a Depression: Only 11 banks in the U.S. and 4 in the UK have filed for help. Compare this to over well over 2,000 banks worldwide in the 1930’s.
2. The Banks Aren’t That Bad Off: if the banks are in such dire straights, why are they spending millions of the “emergency” money on parties for staff and paying senior management their year-end bonuses? a prime rule of business – use someone elses money. So they are – yours.
3. The Big 3 Is Economic Disaster: No, it’s not. It’s called “market forces” and if the market won’t sustain a bad product with poor management and too high a labour cost, it will rightly collapse. Economics 101. From those ashes a better breed of cars and manufacturers will come along.
4. We’re Still Buying: Business, consumption, economies; they don’t stop during a recession. We may hit 7.5% unemployment, but that’s not 25% or 50% unemployment like the Depression.
5. Money Is Being Made: Despite the media wailing about the “collapse” of the stock market, many, many are making money. The markets will recover and your RRSP’s and 401K’s will recover too.
6. Know The Hype: It’s in the financial interest of big, mainstream media to “hype” the recession and blow things out of proportion. That way they get more eyeballs and can sell more advertising in a gloomy time.
7. The Markets Are Not Collapsing: Watch the “words” being used. If the markets were all “collapsing” then we’d be seeing massive shutdowns across ALL industry sectors. Millions would be out of work and we really would be in a “recession.”
8. It’s Going To Get A Lot Worse: Thanks Big Media, politicians, I really wanted to hear that. Is it really? I don’t know, I’m not an economist by profession…it is a dismal science after all. However, it may not get worse. “They” don’t tell anyone “what” is going to get worse.
9. There Are Opportunities: Despite the doom and gloom cast about by Big Media, there are opportunities…if you do your research, consider your market carefully and prepare well, there are still investments to be found.
It’s all in the perspective you want to take. Be aware of the words being used by major media outlets…and remember, this is the 90-Second Economy; when they decide they want create hype about a “booming economic growth”…they will, because that too, will help them sell advertising.