What is the supply of capital like during a recession?

August 19, 2009

recession

I have to relate the demand and supply of capital to the recession. Is supply of capital (the total savings in the economy) going to be high or low?

I already have that demand is going to be low.

Repossession

Related articles:

  1. How would Canada be affected in the Recession? If so, approximately how long would the recession last? Ok…I’m kind of worried about the economy. So how is the recession going to affect Canada? Would we actually go into a Depression? Or is it just another Recession...
  2. What is a recession and what will happen if Australia goes into recession? With all this talk about the global economic crisis and australia may go into recession, what does this mean exactly and how will it affect us and what will...
  3. Will Politicians and Businesses Pass the Recession Test? The recession is a huge learning curve and a big test for the government, economists and businessmen.Recession is not an accident that just happens – like a car crash,...

{ 1 comment… read it below or add one }

Dan Steng August 20, 2009 at 11:10 am

Not necessarily true —

Unfortunately, a lot of people do not realize that an economic recession is actually a fact of life – it may suck – but it is a fact of life. The problem is all you hear on the news media and from politicians is that there is no hope, woe unto us, doom and gloom, etc.

There are many benefits during a recession – lots of them in fact.

If people just tune out the politicians and the media and focus on what is really going on, everything will get better faster.

The outline is simple: Fear causes people NOT to spend. When people DO NOT SPEND, money CANNOT be circulated. When money CANNOT be circulated, the economy cannot grow and is stagnant. When consumer confidence is down and fear remains, nothing gets better, in fact it slows down – hence, a recession.

Negativity is what the media and politicians are famous for – after all, it gets ratings and is good for reelections. Good news doesn’t “sell” or pull ratings – BAD NEWS DOES! We are being fed the bad, instead of hearing about the good.

I’m not that smart, LOL, I learned all of this in The Ultimate Recession Survival Kit, which I highly recommend to EVERYONE. It details all of this, and tells you why recessions are actually good, how to save money and invest it, spending tips, a whole lot more. Excellent resource and helps you see what is REALLY going on.

What I learned on it has helped me immensely – financially and emotionally.

Don’t get caught up in the bull! Get the kit and it’ll show you how to turn the recession around to help you, NOT hurt you.

There is also a free 5 day ecourse you can sign up for which is extremely encouraging and helpful. I encourage everyone to at least take that. The link to their website is in the resource box.

All is not what it appears to be!

Hope this answered you ok!

Leave a Comment

Previous post: Can I apply for a sales tax registration for a business I run out of my apartment, or is that illegal?

Next post: Whats the difference between (ecomonic) Depression and Recession. Seeking basic easy to understand definition?