Today is the last day of the recession
What the news media has failed to realize is this recession actually started in October of 2005. The stock market dropped some that month but then the money from real estate started to poor into the stock market (real estate was no longer profitable and you have to put your money somewhere). The market should have eased but instead it went up.
We are not going be as extravagant in our spending for many years but 2009 will not be much worse than 2008.
The last few month consumers have been bombarded with media reports of layoffs and risk of depression. They are given an excuse not to spend as much. They are holding back waiting to see what happens. Oct, Nov, Dec were worse because of fear more than anything else. Spending should be down, we don’t have the boom time money anymore, but the last qtr of this year was exaggerated from the media bombarding us with fear. Next year will be fine. It won’t have the extravagant spending but it won’t be any worse than last year. If today isn’t the last day of the recession then it will be with in a few months. I say I’ts over.