The effects of our economy have caused businesses and people to act in ways they might not have years ago. Through the ups and downs of the market, it has been difficult to determine exactly where the safest place is to invest, now in late March of 2009. Just from reading the USA Today daily, one can see the difficult times people are feeling in the majority of industries. An article written by Bruce Horovitz, from the USA Today money section brought an eye to chain restaurants forced to restructure their menus to keep up with demand. Comparable to fast foods, one can get an entrée for fewer than ten dollars; a price for dinner not even 1992 could handle. As restaurants struggle for business, as does the dairy industry, with their price dropping below four dollars for a gallon of milk. A barrel of crude oil, once going for the high $140’s and better was once down in the low $40 not two months ago, and now climbing to the low $50 range at the close of yesterday’s market. With such an unsteady oil market, businesses that truly depend on such a resource seem to be questionable at this point in time.
Being a young investor in the market, I try to read and re-read what people across the board have to say about our economy. There are those outlooks from billionaires who differ greatly from the perspectives of middle class workers losing their 401K packages; all of which are valid impute to the progress of the market. There are other markets that have caused their very own downfall. For example the airline industries, which have given out far too many “frequent-flier miles” and has become difficult to generate profits which has forced them to reorganize. I have gained a sense of “spring cleaning” going on in the market over the last couple of months, yet I don’t feel as if it is such a bad thing. In times like these, organizations truly see who, what, and where money is being lost, giving them the opportunities to fix them if they would like to compete in this competitive capitalistic market.
I feel as if our President of the United States has still, a lot on his plate to handle. No matter Republican or Democrat, we are giving our trust to President Obama. We now need a commanding leader who can remove the once dominate superpower from a time of recession and become a commodity to the rest of the world yet again. As the President has stated, the push for alternative energies will be a part of the future that cannot be overlooked. Just from driving down I95, from the visible eye, one can tell there are far too many smoke stacks emitting who knows what, and many 300,000sq feet manufacturing buildings vacant looking for tenants. Haven outsourced all of our manufacturing across seas to receive cheaper labor costs, we as American’s must not forget our patriotic pride.
With over a trillion dollar budget projected for the next year, the need for such an investment to prosper is crucial for our country as a whole. As seen in the 1930’s, governmental spending can stimulate the economy and especially lower the unemployment rate. What was also learned from that governmental spending in the 30’s was that once it was cut the worst times ever seen was witnessed do to the unexpected blowbacks. President Obama obviously has the approval or our county, and we are all hoping that his actions will speak loader that his words.
1 comment:
Your statement of “Spring Cleaning” is one that I have never thought of and fits perfectly into our situation. I never thought of our position in terms of a positive renovation of market issues, and I can see why it can be beneficial. We can now start from the bottom and reconfigure all of our problems to sustain a much prosperous future. Such as outsourcing our labor to other countries we can now understand the benefits that come from patriotic development. This type of thought process has turned our vehicle manufacturing into a spiraling failure. It is difficult to buy U.S vehicles when most are made out of cheap parts and do not last as long as our foreign competitors. That is of course attributed to our issue of development through cheap methods. This economic crisis offers our country a chance to start new and to correct many profound conflicts. Spring cleaning is what we really need and to do so we have to entrust our morals to Obama and hope that he does his best in the direction of our country. At this stage in the game we need a figure to rely on because if we don’t I am not sure if we will ever be able to rise as a new and sustainable country that will set an example or mirror our partners over seas.
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