American economy what will happen??

Question

I hear the economy failing. I see and hear about banks closing and people losing money. Home prices falling. Its harder to get a loan then ever. Companies laying off thousands. What else can or will happen? What can a young person do finanially to make the best of this bad situation.

Answer 1

Everything will be okay.  Problems are bad.  Yes I agree they're bad and certainly are hurting thousands of Americans.  But they aren't so bad that everyone needs to panic.  And we will not be hitting a depression or a crash- we've been through MUCH worse before including the Great Depression and other times.  Our economy will get better.

My projection along with some others (like the Economist) is that the economy will be better next year.  Starting next year probably spring- (or) summer 2009 the economy will finally begin to rise up.  It will have a pretty slow recovery but it will recover.  By 2010 it will recover all or most of from before.  So we will have improvements in :) the 2009- middle or early months. And will be all improved or mostly by the 2010 economic :) times (Economic quarters in 2010).

What to do?  Just be careful with how you spend.  Don't spend too much. And spend only on necessities.  Create a budget and make sure you spend within the budget and leave enough for everything.  Be careful.  I suggest caution and just doing what you can.  This is just basic advice though- I suggest talking with others too about this, such as parents and others that you trust.

Answer 2

Things aren't all that bad.

Get an education, you will have more choices in life with a decent education, and be more financially secure (statistically speaking).

Answer 3

Well it is getting worse daily.  Don't buy a house unless you can pay cash, you never know what is going to happen in life.  You can be a hard worker, have a good job etc..and then get sick--if you have a mortgage you will lose everything.  The same can happen if a family member gets sick too.  It is not all about the economy.

Try to live simple, it is harder to lose everything that way.

Edit:  An education doesn't mean anything if you get SICK, nada.  Make sure everything is paid for.

Answer 4

Everything will be okay. Problems are bad. Yes I agree they're bad and certainly are hurting millions of Americans. But they aren't so bad that everyone needs to panic. And we will not be hitting a depression until hyperinflation is rampant- we haven't been through something as bad as this before including the Great Depression and other times. Our economy will get better. It just won't be anytime soon.

My projection along with some others (like the Economist) is very rosey and is that the economy will be better next year. Starting next year probably spring- (or) summer 2009 the economy will finally begin to rise up. It will have a pretty slow recovery but it will recover. Especially financial stocks. Their earnings will be great even after massive dilution of the shares and reduced future earnings. By 2010 it will recover all or most of from before. So we will have improvements in :) the 2009- middle or early months. And will be all improved or mostly by the 2010 economic :) times (Economic quarters in 2010).

What to do? You have to spend. Overspend to be exact. And spend on anything. Create a budget and make sure you spend over the budget and leave your credit line empty cause our economy is 70% consumer spending. If you and others fail to spend, YOU will make the problem worse. Be careful. I suggest caution and just doing what you can. This is just basic advice though- I suggest talking with others too about this, such as parents and others that you trust. But you MUST spend! Retail jobs and service jobs will be lost if you stop spending, and that will lead to a more cautious consumer, and more store closing and more lost jobs. Until ultimate pessimism then we will see the light.

PLEASE DO ALL YOU CAN TO HELP US THROUGH THIS DIFFICULT SITUATION.  THANK YOU!