Jan 05 2009
Beginning again in a recession
We’re well into 2009 now. For most people today is the first “proper” day back at work. I can see the effects of people trawling through their inbox, tying up loose ends from 2008, making plans to fill their 2009 diaries.
For myself, I’m just recovering. My body took a hard hit with various viruses over the last month but my mind – the bit of it that is motivated and focussed at any rate – seems to be just making it back to the land of the living! I hope you fared well over the holiday.
So as I beging to get my plans together I also need to look back at what worked, what stalled, what needs starting again, throwing out…
I don’t wish to knock New Year resolutions – though suspect that many made with good intentions have already fallen by the wayside. I feel that it is vitally important to make a conscious review of what is important for 2009, knowing what worked – or not – for 2008.
Almost everything you read proclaims doom and gloom for the forseeable future. Stockmarkets down 30% on the year, house prices down 16%, predicictions of 3 million unemployed in the UK. These stories are enough to keep most people safely locked in their bunkers. In terms of savings or investments, where is a girl to put her money? Interest rates for savers are so low as to be riseable but has the UK property market bottomed out yet – even if you do have the credit record and deposit to get that mortgage?!
Now I know that these headline figures hide many personal stories of tragedy, of savings lost, pensions shrunk and properties locked in a frozen sea – for the individuals and families concerned, this is tough stuff.
However on the few occasions I ventured out shopping over the holiday I was swamped by hoardes of people intent on buying – well everything! There was hardly a store I entered that didn’t have long queues of customers excitedly holding aloft their trophies. So is this the sign of a recession? Are all these good citizens doing their duty and spending their way out of a collapsing economy or are they doing the consumer version of fiddling while Rome burns?
Do you know what, I’m not sure I know the answer to that question.
What I do know is that I’m thinking more carefully about financial decisions big and small. More than ever I’m glad to be part of a comunity of people at The Money Gym who collectively have a lot of information about making and keeping money, about investment opportunities, about how to survive and thrive in these uncharted waters…
One lesson I’m really beginning to learn is this – when faced with a difficult job, get help!
