I, for one, hate even putting this type of headline on this weblog, however, it seems to be what all the news outlets are screaming lately.
That is, among all the doom and gloom about our overall economy here in the US, there is a newly surfaced report that the Fed has announced the
outlook has gone from bad to worse. Call me crazy, but should they just maybe underplay that, or even not broadcast it so broadly?
After all, we as humans can’t help but follow the path we think we should be by what’s going on in the news, so in essence, is all this news
really furthering the depressed economy? Don’t get me wrong, I’m all for the information age and freedom of speech, but I’m just asking, when is all
this information just too much, to where it begins to set itself in our subconscious minds and actually create the economic bed we lie in for the
next several months?
With the Federal Reserve, headed by Ben Bernanke who succeeded legendary Fed chairman Alan Greenspan, authorizing two back to back cuts in the
interest rate, and then coming back and saying that the GDP, or Gross Domestic Product, which is considered to be the figure by which the health
of our economy is measured, is still going to be lower than previously forecasted, it seems that many people are losing hope that 2008 may be our
year to rebound.
Add into all this fiasco that the stock market has been pretty volatile for a while, and you’ve got people running scared from stocks and other
securities, and also taking their money out of the economy in other ways that would actually benefit it, making the whole thing a worse situation by
pulling money that might have been spent and invested in businesses which drive the economy, and exacerbating an already festering situation that is
ready to come to a head.
Many economists have said that we are already knee deep in a recession, but some other still feel we’re on the “brink” of one. Where do you stand?
How are you dealing with the recession, if at all? Economists may be split on their recession standings, but I for one believe we are already in one.
It’s difficult to tell whether a recession actually occurred until it’s over though.