Last week I thought that if we sat on our wallets and didn't circulate money through the local economy we would end up creating the very monster we are afraid of.
This week I read in my favourite broadcast industry publication that the chief economist at the
Conference Board of Canada says that if the media keeps saying that the sky is falling, people
are bound to think that is what's happening. And, while there is a global credit crunch, the
problems aren't as deep or widespread as people are led to believe. The result of blanket media
coverage of the economic troubles is said to be helping to lower consumer confidence, creating
what the conference board calls "a psychology of recession".
I'm not an economist but I do believe that psychology....confidence and optimism (or pessimism)...
has a lot to do with the situation.
So far, we are managing to avoid most of the effects of the global downturn.
We'll keep our fingers crossed and our optimism high.
I snuck a peek at the stock market this morning and observed the following:
Fluorescent tubing dimmed in light trading. Knives were up sharply.
Hiking equipment was trailing. Pencils lost a few points.
Elevators rose, while escalators continued their slow decline.
Weights were up in heavy trading. Meanwhile, light switches were off.
Mining equipment hit rock bottom. Shipping lines stayed at an even keel.
The market for raisins dried up while soft drinks fizzled.
Balloon prices were inflated. Diapers remained unchanged.
Bathroom tissue touched a new bottom. Helium was up; feathers were down.
Paper remained stationary.
Funny, funny...gotta love the media.
ReplyDelete: ) People are still eating so it's not all that bad...I am sure all things will pan out but maybe we shall hold off on buying new ones for a while...
ReplyDeleteWe'll know at our house in a month or two if the big industrial projects are still on so Mr. Wren can go back to work. In the meantime, retirement funds are down 1/3. Canada's unemployment rate has been much higher but then, they don't count the people who have run out of EI and those who have given up looking for work. To think we lost 71,000 (don't remember the time frame) jobs but they see the light with 36,000 more minimum wage part-time jobs.
ReplyDeleteBut you are right, the sky has fallen before. Still, there is always fear that rides those airwaves.
The rest was funny!!
Each country is going through this down turn for the first quarter. And it's going to get worse than better but it will all come back as it has before. I would not wish to be running a shopping center nor investing at this point in time. But I think it's all about needs and wants and keeping funds in the bank.
ReplyDeleteI don't think that one can take anything too serious. Wren, I think that we just have to go along with what it is. The first quarter will be harsh just like are weather, but the third quarter of the year hopefully we will see an upturn.
It is very difficult to discern whether the situation is as bad as the media makes it out to be or if the media is creating a bigger, more dramatic/traumatic story than what is actually there. I hope things aren't as bad as the media makes it out to be. It is a fact though that many lay-offs are occurring and when there are no jobs there is no money to stimulate the economy. I think I'll go to bed and pull the covers over my head. Wake me up when it's all better, please.
ReplyDeleteWell I think that the media has found another thing but it's real, however the psychology of it makes people worry more. I am sure that it will pass, it's just a matter of time and for something to input something that does make it work. Till then I think that I am holding on to what I do have and not spending all that I did last year as it was much.
ReplyDeleteSo I am basically holding onto my loonies (it's a canadian saying as a loonie is a coin that is equal to one dollar).
Thinking about what people did back in the old days when they faced the depression of the "dirty 30's".
Well I think that the media has found another thing but it's real, however the psychology of it makes people worry more. I am sure that it will pass, it's just a matter of time and for something to input something that does make it work. Till then I think that I am holding on to what I do have and not spending all that I did last year as it was much.
ReplyDeleteSo I am basically holding onto my loonies (it's a canadian saying as a loonie is a coin that is equal to one dollar).
Thinking about what people did back in the old days when they faced the depression of the "dirty 30's".
We lost everything in the recession of the early 80's. We lost our farm and home. I cheered when farmers hauled trucks of manure to town and dumped them in front of the banks. People had their loans go from 8% to over 20 and were foreclosed on. It was ruthless and mean. Just like the 30's. This time the powers that be seem to want to be more pro-active and back the system and retrain folk and are being more kind and Christlike. However, that remains to be seen too.
ReplyDeleteHmmm.. The later part of your post sent me into laughter...Thank you :-D!.. As for the other... well, the first time the bottom dropped out of the housing market here I knew we were going into a recession/depression... the money I have in savings will go absolutely nowhere!!! I want a new tower so bad I can taste it!!! I even want a brand new Dell like my gal friend has, but I'd have just gone with the other and kept this small car I have for a monitor. Oh well... Now is not the time.... Have a nice evening Jack :-)...
ReplyDeleteSo true, I recently had a situation that I almost lost many things but I took that risk and made a choice. And krun I am glad your on my blog I remember you from days that were so far back. What we do and what we have risked reveals the value of what we have. We live and we learn but maybe in life everything has a purpose, or in some manner the purpose shows it's self later on and makes us understand more of what life is about. Perhaps so.
ReplyDeleteAnd I remember the 80's as I just was starting in a position in shopping centers that I had never been trained in. And all the tenants were going broke at that time. That was a hard thing at first to see. The meaning of life is something that is what we all value. And where that is only each one of us does know that answer. Or we aspire for it. Without it being in vain.
I wished to have something fun but I know the economy is something that is rather hard as many are pondering on where this will lead too Peeks. I cut my losses and returned from Edmonton and came back to Saskatoon, a small but nice city here in Canada. Some of you know that I was raised in the USA and I have a friend that completely lost everything down in Florida, he is like a brother to me as we have kept in touch throughout all these years, but right now I have not been able to call him as I have rekindling friends that I had here and rebuilding the people that I left when I moved. I don't think that any country is recession proof. But I think that there is something coming out of all of this. . For myself I keep things on the up and up. I knew that was not the case with a joint venture with a friend in Edmonton. So I don't think it's all bad, I actually have been enjoying myself. It's amazing what can come about during something economically or otherwise. But I too am keeping it simple. I bid you the same peeks.
ReplyDeleteThanks Jack..:-). Believe me, it's going to be simple for a long time unless I win the lotto here...lol :-D...
ReplyDeleteI have never bought a ticket in my entire life. But I have seen while I managed shopping centers two people that did win a lottery that was in the millions. One took all the money and lost it within six years and the other found it in his cabin jacket one six months after no one had claimed the ticket. When he found it while cleaning up his cabin, he went into the lottery booth in the mall and I could hear someone singing, here when I went down to see what was happening this old man was jumping up and down and dancing - he won 6 million dollars. He was so old and had everything that he needed just as the person that lost everything. The merit of the story - "the one that buys a ticket has as much chance in making money or even more so than investing in the stalk market". : - )
ReplyDeleteG'day Jack,
ReplyDeleteObviously putting money back into the economy is one way to get it flowing again, to this end our government in it's wisdom gave $1000 to all pensioners & those on welfare just before Christmas, in the hopes that they would spend it with mad abandon to start the ball rolling, they didn't think that because of the hard times people here are having & had been enduring for many months because of this media promoted recession that they may just like to have a nice meal or pay their extraordinarily high amenities bills, medication costs or all the things that make life bearable.
Sitting on our wallets would not be good for the economy. We have to keep spending, according to our means, to keep the economy going. This may be easier said than done for those who have lost their jobs, their houses or are barely scraping by to make ends meet . However, for hose who can still afford to spend a little, they should definitely do so.
ReplyDeleteI agree as now we are facing a time where we can inject money from our government but more than anything it could be wasted. Just like in the United States there is this situation where we are now having the government looking to inject money into some areas to start to stimulate. I ponder where is the priority that a government can make the choice on the back of the people that pay taxes for it.
ReplyDeleteI would rather it be something where we naturally inject money. It's a thrifty time, but a time that hopefully we do not waste money on needless things within our country and all countries.