What this all means...

The problem is this: nobody knows exactly what is happening right now except that it is unprecedented in terms of its scope and intensity. The global economy is wobbling toward a deep recession, if not depression (the definitions for these things are inexact, but the rule of thumb seems to be that a depression is where GDP declines 10% or more), as our leaders scramble to gain some kind of control over the plunging stock market and frozen credit markets. I started this blog because people who jump to the "Armageddon" scenario tend to be borderline paranoiacs who are all too ready to stockpile ammunition and Slim-Jims for the "end times." On the other hand, the more level-headed experts have been consistently wrong about the intensity and scope of the current crisis; it has simply gone from bad to worse. I haven't heard anyone address questions concerning our national 10 trillion dollar debt, especially at a time where GDP will be decreasing; nor have I heard what the impact of the Fed's money printing spree will have on inflation. Taking into account the current frigidity of the credit markets, rising unemployment, inflation worries and, now, the global nature of this crisis--it appears that we may be in for a long downward spiral in terms of the average person's standard of living. This blog is intended as a forum for the exchange of ideas that explore what a long-term economic recession or depression will feel like and what to do to avoid its more dire effects (starving in the streets, etc).

In the coming weeks I will be writing on a variety of topics related to the event that we are now witnessing in the news, and particularly how to make it through with our collective sanity and personal budgets intact. These posts will fall broadly into five categories:

1. Understanding Historical Perspectives: Your (great-) grandma, who lived through a global depression in 1930s, has just usurped your financial advisor (who told you in July to just "ride it out" in the stock market) for prime insights into getting by in the coming years.

2. Strengthen Social Networks: If you can count on one hand the number of significant relationships in your life, now would the time to join a church (the life-affriming kind, not the Revelations kind), book club, food co-op, knitting circle, hiking club, etc...

3. Personal Finance: Lose the credit cards, start saving--we're not going to shop our way out of this one.

4. Household Management: Tips on getting by on the cheap!

5. Skill Sets: Your mastery of mediated realities (i.e. video games, web surfing, weekly TV shows) will avail you not in the days ahead.

Whatever this crisis means, we'll get through it together if we take some time to change behaviors that may have made sense six-months ago, but may indeed be destructive in the months and years to come.

Be safe, be sane, let's get to work!