Let’s start being positive
I’m an ad guy, okay, so I’m expected to be upbeat about what is currently going on in our economy. Sure, I have an economic self interest in promoting the economy. But I have to tell you we need to stop talking about the end of the world–the high price of a barrel of oil. (Does anyone really know how a barrel of oil converts to our local gas station?) I have a suggestion: buy oil company stock and stop whining.
There is such a thing as a self-fulfilling prophecy and what it does to us. Read this article (http://columbus.bizjournals.com/columbus/stories/2008/01/21/editorial2.html) and maybe you will begin to see what I’m talking about.
I make the new business calls here at the agency and I’m telling you there are some days when it appears I should slit my wrists because everything is so bad.
Wake up! It’s not all bad. Yes, the economy is sluggish. Yes, we owe too much of our debt to China. And yes, we have the Iraq War. But folks, unemployment is under control as is inflation. Rates for borrowing money are down and your President and Congress just sent you some money to play with. So go play with it.
The economies of all major industrial countries are cyclical and this too shall pass…but maybe we could speed it up by being a little more positive today.
April 29th, 2008 at 7:32 pm
A question, Al: Would you suggest to the people who can’t afford to buy groceries because of gas prices that they should buy oil company stock and stop whining? Plus which, is inflation really under control when gas costs 16 cents a gallon more today than it did last month? And do lower interest rates for borrowing actually mean anything when a car dealer can’t finance anyone who doesn’t have a 650 or better credit score?
I do wish that you would remember that some folks aren’t as well off as we are. and that sometimes - not always, but sometimes - it’s through no fault of their own.
April 30th, 2008 at 12:22 pm
Hey whack-a-doo!
What color is the sky in the world you live in, ?
CPI has been “gamed” by the National Bureau of Economic Research for at least the last decade. It’s now about as useful a measurement of inflation as Roger Clemon’s ERA. Recession or not, the economy ain’t great and the burden is squarely on the back of middle America.
Interesting stats from the last 12 months:
- a gallon of gas rose from $2.25 to $3.50; (Can you say $200 a week in gas to the budget?)
- home heating fuel rose from $2.30 to $3.40 per gallon; ($1,000 a month this winter?)
- natural gas rose from $0.95 per therm to over $1.20;
- diesel fuel rose from $2.10 per gallon to over $4 per gallon. (Independent truckers getting jobs at McDonald’s ’cause it pays better?)
Combine the above with the folly of the gov’ts ethanol production and its mandated use in our fuel (e.g. more expensive fuel that gets worse mileage than straight fossil fuel) and the state of our economy hits Americans hard.
On top of this Bernake’s FED lowers interest rates - weakening our currency relative to others (Namely the Euro) which not only stimulates inflation, it also forces the U.S. to spend more dollars buying the same dollar-denominated barrel of oil from our “friends” in the Middle East. You know the “friends” in Saudi Arabia that have the capacity to pump 15 million barrels of oil per day, but are currently only pumping 9 million so that they can continue to reap the rewards of $119 oil ad infinitum!
The only problem with Iraq is the U.S. isn’t sending them a bill for keeping their country from imploding.
Reply to this blog thing is cathartic!
May 2nd, 2008 at 7:12 am
This is what he’s talking about! You’re all so caught up proving him wrong w/ these statistics that you don’t have any time to think positive. Yes the economy may be worse off than it was a year ago, or ten, but folks, we haven’t reached the apocolypse. And you’re obviously too busy being negative that your stats are a little inaccurate about the great American pastime….Roger Clemens may be washed up like our economy right now but he was amazing once so you could atleast spell his name right. The sky can be any color we want it to be…it’s how you get past the storm clouds that matter.
May 2nd, 2008 at 9:25 am
Sally,
Oh Sally, while you’re out “dodging storm clouds” (and misspelling apocalypse…) foreclosure rates on regular Americans have doubled. Approximately 2.2 MILLION families have lost their homes. What is positive is that we will get through this cycle, as Americans always have.
Hardworking citizens will grit their teeth, push on and find a way to live what’s left of the American dream.
The challenge is gaining a piece of said dream when the deck is stacked against us by fat-cat politicians who allow our borders to be breached, our dollar to deteriorate to the level of banana-republic fiat, our jobs to go overseas and our troops are used to line the oil pockets of the world’s power elite. All because some starry eyed lemmings do nothing about it!
What tune will you play on your fiddle as “Rome” burns?
May 2nd, 2008 at 10:02 am
I think I will play our national anthem because we are the land of the brave and you are correct, we will get through this cycle. And dodging the storm clouds may not boost the economy but it’s good exercise which is one thing Americans are lacking these days, both mentally and physically. Truce?
May 2nd, 2008 at 1:04 pm
Dear Ad Guy,
I came across your blog (long story) while surveying information on New Hampshire as my family and I will be moving there in the summer.
In reading over your two most recent posts the conclusion seems inescapable…this country just can’t be in that bad a condition if any company is able to earn a profit by providing fully automated bathroom components! Surely this must be some kind of a measuring stick for prosperity.
On being positive and the Columbus Business First piece, I think of a quote I once heard and have retained over the years: “believing equals receiving.” If we go looking for the negatives in this life it’s pretty much a guarantee we’ll find ‘em. Same for the positives.
I hope we are able to learn from our current economic state and teach our kids how to avoid such pitfalls in the future. My grandfather scraped his way through the great depression and the example he set in his professional and personal fiscal realms was characterized by thoughtful decision making and hard work. If he chose debt exposure it was so well-coordinated that there was little or no risk.
In any event, thanks for the thoughtfulness and the levity. With any luck I’ll someday bump into you at a local coffee shop.
Cheers,
Martin