What a roller coaster ride the U.S. economy has been over the last couple of months, where this week was a great indicator of what is to come.
What is to come?Â What next?
Hopefully, those of us that are business owners and managers have the insight to see what is ahead, but does anyone really know?
Unfortunately, the U.S. economy is similar to your odds in Vegas.Â You just don’t know if you’re going to win or lose.
Or as Forrest Gump said, “Life is like a box a chocolates, you just don’t know what you’re going to get”.
There is much speculation as to what will occur once we all get our stimulus checks, but at this point, it’s all speculation.Â Is $300 bucks really going to help?
What do we do if we are a small business owner and we are not as keen as others to have foreseen the impolsion of the sub-prime housing market?
Is the sub-prime housing market the cause of less consumer spending that is affecting our businesses?
Â Of course it is?Â It’s osmosis.Â One thing affects the other.Â Less equity in our homes as home loan borrowers equates to less money to spend as consumers.
It’s known as disposable income.Â The less disposable income consumers have, the less consumers spend.
I have seen smaller businesses suffer from less spending by consumers.Â Less spending from consumers equals less business for our small businesses.
So, do you really think $300 bucks from the stimulus package will help?Â By the way, the check is in the mail and the IRS will not mail those checks until June, ’08!Social tagging: Economic News