There are many things that repeat
themselves throughout history, and recessions are just one of these
things. A recession has happened often throughout our lifetime alone
without even going back any further than 1970. The recession cycle is
going to continue to happen to our children's children, and their
children's children. This is not a good thing, but it's not a horrible
thing to have to go through. Just think it could be a depression and we
all know that was one of the worst times in history. A recession cycle
isn't about a specific amount of time in between cycles, it's simple a
result of when our economy is strong. The stronger our economy becomes
the higher the demand for goods. We have money and the goal is to spend
it, so we buy more food, better electronics and the most expensive cars
that we can barely afford. The production of these supplies is
impossible to keep up with the demand for them, so what happens from
this point is inflation. Think about it when you know that someone
wants something you have the ability to charge virtually what ever you
want, this is inflation. And as the prices continue to go up for goods
people begin not to want to pay for those high prices |
|
Read more...
|
