Can individuals help bust up a recession?
April 5, 2008 6:22 PM Subscribe
[Naive but Optimistic Americanfilter] So, is there anything I as an individual can do to try to pull us out of the impending/occurring recession?
There are plenty of lightbulb/thermostat/carbonfootprint-related tips on how individuals can help the environment and go green, but when it comes to this looming/present recession I can't figure out how to act locally and think globally (or at least nationally).
I can't print more money, and I don't own a business where I can give my fellow working stiffs more salary. I'm keeping my money in many domestic stocks through my IRA and 401k, and buying American wherever possible.
What else can an I (as a regular guy) do to help push us collectively through this muck?
There are plenty of lightbulb/thermostat/carbonfootprint-related tips on how individuals can help the environment and go green, but when it comes to this looming/present recession I can't figure out how to act locally and think globally (or at least nationally).
I can't print more money, and I don't own a business where I can give my fellow working stiffs more salary. I'm keeping my money in many domestic stocks through my IRA and 401k, and buying American wherever possible.
What else can an I (as a regular guy) do to help push us collectively through this muck?
The current poor economic conditions are real. Election year didn't cause the subprime mortgage crisis, the crushing debt, price of fuel, plunging dollar, etc.
I don't know there is an answer to your question. To be honest, this is almost chatfilter.
posted by Gerard Sorme at 6:47 PM on April 5, 2008 [1 favorite]
I don't know there is an answer to your question. To be honest, this is almost chatfilter.
posted by Gerard Sorme at 6:47 PM on April 5, 2008 [1 favorite]
Response by poster: Follow up: This is not intended to be chatfilter. I've Googled around and asked those in my circle, but can't seem to come up with any helpful concepts (not random gripes about how crappy everything is getting).
If this ends up spiraling down the chatfilter route, feel free to remove it, but I honestly don't know of a better hive mind to query.
posted by Overzealous at 7:00 PM on April 5, 2008
If this ends up spiraling down the chatfilter route, feel free to remove it, but I honestly don't know of a better hive mind to query.
posted by Overzealous at 7:00 PM on April 5, 2008
LiveLurker's first two statements are entirely correct. Market conditions are half-psychological.
But I agree with Gerard's criticism wrt LiveLurker's last statement.
But in the end LiveLurker is in fact demonstrating one answer to your question: spew a lot of feel-good happy talk.
If you don't feel comfortable BSing people with bedtime stories, however, here's what the 80s gave us.
Learn what FDR attempted to do in the 1930s. Arm yourself with the facts and reasons as to why and how we got to where we are now.
I'm in my 40s now so I've seen this movie a couple of times already. I missed the early 1970s recession but was around for the late 70s, 80s, and 90s repeats. The presence of the internet, most particularly blogs as information sources, will result in a different dynamic this time around.
posted by tachikaze at 7:13 PM on April 5, 2008 [1 favorite]
But I agree with Gerard's criticism wrt LiveLurker's last statement.
But in the end LiveLurker is in fact demonstrating one answer to your question: spew a lot of feel-good happy talk.
If you don't feel comfortable BSing people with bedtime stories, however, here's what the 80s gave us.
Learn what FDR attempted to do in the 1930s. Arm yourself with the facts and reasons as to why and how we got to where we are now.
I'm in my 40s now so I've seen this movie a couple of times already. I missed the early 1970s recession but was around for the late 70s, 80s, and 90s repeats. The presence of the internet, most particularly blogs as information sources, will result in a different dynamic this time around.
posted by tachikaze at 7:13 PM on April 5, 2008 [1 favorite]
Well, given that the definition of a recession is negative economic growth, the best thing you can do is make a profit. More generally speaking, the best way to help the economy is always to invest. Invest in education, health, reduced crime, a business, community harmony, better political leadership, whatever.
Rhetoric is great, but action is better.
posted by mpls2 at 7:14 PM on April 5, 2008
Rhetoric is great, but action is better.
posted by mpls2 at 7:14 PM on April 5, 2008
Best answer: Buy more stuff. Save less, spend more. Work more, earn more, and spend it.*
A recession is the shrinking of GDP. Whatever you can do to increase the GDP, will (very slightly, of course) lessen the recession.
*Please don't actually do this. American consumption is unsustainable.
posted by ssg at 7:14 PM on April 5, 2008 [2 favorites]
A recession is the shrinking of GDP. Whatever you can do to increase the GDP, will (very slightly, of course) lessen the recession.
*Please don't actually do this. American consumption is unsustainable.
posted by ssg at 7:14 PM on April 5, 2008 [2 favorites]
Spend, spend, spend. Of course if there's hyperinflation on the way, then having a stockpile of any tangible item is not a bad idea to begin with.
posted by tinkertown at 7:18 PM on April 5, 2008
posted by tinkertown at 7:18 PM on April 5, 2008
Found a successful business. I would recommend an energy firm. But small businesses can be good, too. What's your degree in?
posted by mr_roboto at 7:37 PM on April 5, 2008
posted by mr_roboto at 7:37 PM on April 5, 2008
Recessions are inevitable in capitalism. They are part of the business cycle, no? The important thing is long-term growth, just as how your stock portfolio does over the course of a year isn't particularly meaningful. Which is to say, this is "chatfilter."
Ssg has as close to a right answer as there is.
posted by 1 at 7:39 PM on April 5, 2008
Ssg has as close to a right answer as there is.
posted by 1 at 7:39 PM on April 5, 2008
Invest in America's resilience.
posted by Blazecock Pileon at 7:45 PM on April 5, 2008
posted by Blazecock Pileon at 7:45 PM on April 5, 2008
Best answer: Spend, but spend wisely. Home improvement is a good way to boost the local construction trade while increasing the value of your property.
posted by SPrintF at 9:28 PM on April 5, 2008
posted by SPrintF at 9:28 PM on April 5, 2008
You may not agree with my suggestion if you don't agree with my analysis, but...
since I believe that the current recession is due to totally unrealistic if not delusional thinking by bond rating agencies, federal government regulators, mortgage brokers, banks, home buyers, investors, voters, etc. then I would say that what the US needs more than anything is common sense, accountability and ethics...
without those three things we will never be able to generate enough economic vitality (like not putting the stopper in the drain before taking a bath) to get out of a recession...
so I think the best approach would be to educate people how our economy works, that decisions have consequences and that people who wear fancy suits and sit in big offices are *sometimes* neither honest nor infalible.
I know this doesn't sound optimistic, but ask yourself if the most successful economies are founded on optimism and euphoria.
posted by forthright at 1:11 AM on April 6, 2008
since I believe that the current recession is due to totally unrealistic if not delusional thinking by bond rating agencies, federal government regulators, mortgage brokers, banks, home buyers, investors, voters, etc. then I would say that what the US needs more than anything is common sense, accountability and ethics...
without those three things we will never be able to generate enough economic vitality (like not putting the stopper in the drain before taking a bath) to get out of a recession...
so I think the best approach would be to educate people how our economy works, that decisions have consequences and that people who wear fancy suits and sit in big offices are *sometimes* neither honest nor infalible.
I know this doesn't sound optimistic, but ask yourself if the most successful economies are founded on optimism and euphoria.
posted by forthright at 1:11 AM on April 6, 2008
We really need someone who can redistribute all of the wealth from the top 1% to everyone else. The problem with this group is that they are really good at hiding their money under the mattress of capitalism. Good luck.
The best possible thing you could do is to invest most or all of your life's money into the brightest minds of future economic and political thinking. Plus, ensure that the remainder of the electorate is well educated--enough to be on board with progress, whatever form that will take. Then, sit back, and hope these there is a large, sweeping social movement.
Anything else is only spinning the wheels in the mud.
posted by |n$eCur3 at 2:55 PM on April 6, 2008
The best possible thing you could do is to invest most or all of your life's money into the brightest minds of future economic and political thinking. Plus, ensure that the remainder of the electorate is well educated--enough to be on board with progress, whatever form that will take. Then, sit back, and hope these there is a large, sweeping social movement.
Anything else is only spinning the wheels in the mud.
posted by |n$eCur3 at 2:55 PM on April 6, 2008
The idea of Creative Destruction suggests that a recession is not a bad part of the business cycle if it kills off the 'dead wood' in the economy. Acting to prop up the less competitive areas of the economy weakens the entire thing (as those resources would be better invested in areas with a competitive advantage).
Note, this is easier to say when it isn't your job at risk.
posted by bystander at 9:00 PM on April 6, 2008
Note, this is easier to say when it isn't your job at risk.
posted by bystander at 9:00 PM on April 6, 2008
Make it recess faster, so it will hurry up and be over with. Save.
posted by vanoakenfold at 9:46 AM on April 7, 2008
posted by vanoakenfold at 9:46 AM on April 7, 2008
This thread is closed to new comments.
It is also a good idea to remember that this is an election year, and cross party rhetoric is REQUIRED to be gloomy so that said candidates can "fix" said gloom.
posted by LiveLurker at 6:37 PM on April 5, 2008