I'm no financial expert. Perhaps now would be a good time to be one.....or perhaps the worst time. I don't know. I'm having a hard time understanding what is really going on in the economy beyond the headlines. And I do understand the headlines!
I am sure however that we are heading into one of the darkest economic times in our history - and clearly the darkest of my own lifetime. You do realize our economy was on the brink of collapse last week, don't you? Collapse!
We've all seen/heard plenty of facts over the last week or so. 80 billion for this. Potential collapse of that. 800 billion over there. The numbers seem to lose their "impact" once they've been slung around so easily. Perhaps we're numb to it all.
But we shouldn't be!
YOUR clients make stuff. They sell stuff. They insure us. They help us stay in touch with each other. They provide our electricity and make our clothing. They are the ones putting products and services on our collective shelf.
So in the bigger picture "We" are "your clients". "You" are "my client". So if we do not have "our" warm/secure feeling then "we" will not be paying "your" fees.
I'm no alarmist. Really I'm not.
My only advice - you better fill the jobs you're recruiting on NOW! QUICK! TODAY!
Now is not the time to take a 3 martini lunch or plan your next 4-day weekend. Get on the ball people!
I cannot say enough about being able to move FAST in this economy.
Remember, America has plenty of strong, very strong companies that deserve attention right now (think food, consumer goods, energy, high tech) over the self-inflicted maelstroms occurring in the financial sector. Place your gaze on them if you want to feel relief and encouragement. Try not to lose perspective.
See you on your chat later!
People are AFRAID to talk about this mess. AFRAID to tak about the leaders that got them into this mess. AFRAID to ask questions. AFRAID they'll be followed into their dark holes and punished by their government in revenge...AFRAID AFRAID AFRAID and that must change.
When Secretary Paulson states:
The underlying weakness in our financial system today is the illiquid mortgage assets that have lost value as the housing correction has proceeded. These illiquid assets are choking off the flow of credit that is so vitally important to our economy. When the financial system works as it should, money and capital flow to and from households and businesses to pay for home loans, school loans and investments that create jobs. As illiquid mortgage assets block the system, the clogging of our financial markets has the potential to have significant effects on our financial system and our economy...The federal government must implement a program to remove these illiquid assets that are weighing down our financial institutions and threatening our economy. This troubled asset relief program must be properly designed and sufficiently large to have maximum impact, while including features that protect the taxpayer to the maximum extent possible. The ultimate taxpayer protection will be the stability this troubled asset relief program provides to our financial system, even as it will involve a significant investment of taxpayer dollars. I am convinced that this bold approach will cost American families far less than the alternative � a continuing series of financial institution failures and frozen credit markets unable to fund economic expansion.
I ask WHY must we do this? To save Wall Street from itself? Let's not lose sight of the fact that Paulson comes out of Wall Street - he was the head of Goldman Sachs, he understands basic finance and particularly real estate valuation, as Goldman is a heavy investor in real estate.
I say enough of the self dealing! Off with their heads! This mess could better have been explained by the following more honest words out of Mr. Paulson's mouth: "...the root cause for the stress in the capital markets is the unbridled greed and systemic fraud of the very banks and bankers that I hope you will pay to bail out."
Off with their heads! The actions of some of our government officials approach high treason, in my estimation. Maybe beheading would be too good for them - what was the
old punishment for treason? Hanging?
I 'spect this post'll probably get me called up for an IRS audit in the next year or two... oh well, what did they say about the tree of liberty?
“Educate and inform the whole mass of the people... They are the only sure reliance for the preservation of our liberty.” ~ Thomas Jefferson
Speak out and up. Don't be afraid.
So as many are calling for MORE regulation to "solve" these types of things - it is really a result of previous regulation. That being of regulating a private industry toward which type of business (risky) that they MUST do.
Regulation - a good thing or a bad thing? I'm hoping to see discussion on this.
That is one of my favorite quotes regarding the economy from a friend of mine.
It speaks to much of what has been said here. Many of us have been through several downturns, recessions, etc. and so much of your success and ability to manage through this is on the top of your desk under your control - not in the media or with things out of your control.
Work smart, work hard, be quick, and creative. Remember to spend your time on opportunities with high-odds of returning results - don't waste your time on anything else.
They believe that doing nothing or letting it happen would be intolerable. They also agree that the risk the citizens are taking on is huge and not fair but again the other result too large to take on.
European banks, for example, are on record asking publicly if this will finally be the end of this US administration's complete lack of oversight on the market. If the US will ever let this happen again.
I'm no financial expert, but everything I'm seeing on this one suggests that what was being passed as "financially conservative" in letting the market manage itself was actually "financially irresponsible".
My 2 cents.