Recession Over? No Way!

For most people, the recession is not over - even though government statistics say they are. As put so well by Jim Wygand, Principal Partner at Critical Corporate Issues, an international risk management consultancy,

The recession is over - the suffering is not. "Recession" is nothing more than a technical term that clicks in when two consecutive quarters of negative GDP growth are recorded. Meanwhile millions of Americans are going through what Allen is experiencing. (Click here to see Allen's comments.)So in a social sense, for Allen and millions of others neither the recession nor the depression (for them) has ended.

Jim goes on to point out a few facts:

While GDP showed 3.5% growth (coming off a very low base), new new home sales FELL 3.6% against a forecast of a 2.6% increase. Disposable income fell 0.5% and unemployment continues to rise. The "recovery" such as it is, is spotty and fragile. When people like Allen start finding jobs so they can support their families with dignity we can break out the champagne. The tragedy of this particular downturn is that people who never thought they would lose their jobs have lost them. ...We wandered deep into the woods and coming back out won't be quick or easy.

I agree with Jim. AND I want to add all is not doom and gloom. Every crisis provides the seeds, and motivation, for change. Each of us has a choice. We can play the name-blame-shame game, and agree that it is someone else's fault. Or we can look for opportunity, which is still all around us.

A recession is a good time to start a business. Did you know that more than more than half of all the companies on the 2009 Fortune 500 list were started during a bear market or recession? If unemployed, look at several part-time "streams of income" rather than an all-consuming career.

Barter services with friends - it will deepen the relationship. Reconnect (for free!) on Facebook with folks you've lost touch with for more opportunities. Quit the gym, go for walks, and meet your neighbors. Host pot-luck suppers in each others' homes. Share baby-sitting duties. Have family picnics.

Let's not kid ourselves. Rising unemployment means the recession is not over for most of us. But, as a people, we've been through worse than this. We may not return to the financial standard of living we had for a long time. But maybe that will allow us to rediscover true wealth.

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