What is Recession?

Recommended Videos

Gamine

New member
Mar 7, 2009
314
0
0
This story is about a man who once upon a time was selling Hotdogs by the roadside. He was illiterate, so he never read newspapers. He was hard of hearing, so he never listened to the radio. His eyes were weak, so he never watched television. But enthusiastically, he sold lots of hotdogs.

He was smart enough to offer some attractive schemes to increase his sales. His sales and profit went up. He ordered more a more raw material and buns and sold more. He recruited more supporting staff to serve more customers. He started offering home deliveries. Eventually he got himself a bigger and better stove. As his business was growing, the son, who had recently graduated from college, joined his father.

Then something strange happened.


The son asked, "Dad, aren't you aware of the great recession that is coming our way?" The father replied, "No, but tell me about it." The son said, "The international situation is terrible. The domestic situation is even worse. We should be prepared for the coming bad times."

The man thought that since his son had been to college, read the papers, listened to the radio and watched TV. He ought to know and his advice should not be taken lightly. So the next day onwards, the father cut down the his raw material order and buns, took down the colorful signboard, removed all the special schemes he was offering to the customers and was no longer as enthusiastic. He reduced his staff strength by giving layoffs. Very soon, fewer and fewer people bothered to stop at his Hotdog stand. And his sales started coming down rapidly and so did the profit. The father said to his son, "Son, you were right". "We are in the middle of a recession and crisis. I am glad you warned me ahead of time."




Moral of the Story: It's all in your MIND! And we actually FUEL this recession much more than we think.


I agree with this and i asked a friend in Chicago, she said its mostly fear afflicting people and she was as comfortable as she had always been.
 

pantsoffdanceoff

New member
Jun 14, 2008
2,751
0
0
A recession is when your neighbors are fired. A depression is when your fired.

So yeah we COULD just keep on spending, but guess what? My families money got cut in half so sure we could SPEND money but then guess what? We'd be bankrupt.
 

blindey

New member
Dec 30, 2008
120
0
0
Interesting story...and true. A recession is two downward spirals of GDP for 2 quarters. :3
 

Marble Dragon

New member
Mar 11, 2009
352
0
0
This story truly made me think. It makes you feel sort of sorry for the man selling the hot dogs, doesn't it? It seems like he was living a happy life, until someone told him that he wasn't supposed to be.
 

kanyatta

New member
Aug 6, 2008
92
0
0
Gamine said:
Moral of the Story: It's all in your MIND! And we actually FUEL this recession much more than we think.
This is a half-truth. Yes, I'll admit that we fuel it more than we might think, but I'm not going to say that it's all in our minds, because it is NOT.

It's hard to just ignore numbers like an 8% unemployment rate. It's hard to ignore, up to 20% in some areas, that mortgage-payers defaulted on their homes. The rich are getting richer, and the poor are getting poorer. Statistics back that up. The middle class is disappearing.