The ‘sky is falling!’ crowd is convinced a global recession is moments away if not here already. They cite the old economic adage (or economic pop psychology) that a second consecutive quarter of economic downturn means the country is in recession. But this economy is real strange even to seasoned and highly educated economists. For one, there aren’t massive layoffs. Two, the unemployment rate is like three percent; the chamber of commerce would say anyone unemployed in this economy just doesn’t want to work. And businesses are in hiring mode for some reason, perhaps residuals of the pandemic when we were all told to go home. Perhaps millions of mothers decided to stay home with their little kids and not return to work just yet. On the other hand, inflation and higher gas prices are the underlying factors that may prove a recession yet.
Granted I’m no economist, but I understand ‘what goes up must come down.’ We weren’t going to ride the wave of economic prosperity forever. So what if there’s another recession? You know what? We live through them. Grow up silly billies.
One is the loneliest
In the 1970s, as a little kid I remember always hearing two big adult words: inflation and recession. These words were a constant in the news day after day, year after year after year with no end in sight. There were always layoffs, keeping everyone on high anxiety. Can you imagine? My laid-back denim-rock youth generation raised by nervous nellies. Many parents in my working-class neighborhood and even relatives were given pink slips sometimes more than once. At one point it seemed my parents (a teacher and a building maintenance engineer) were the only ones working who never were laid off. We were lucky. Plus, dad always made money on the side doing electrical work and auto body repair.
I don’t know for a fact about the 1960s’ economy, but I listened to the Greatest Generation fondly reminisce about the era. Working adults at the time recalled the ’60s with a feeling of contentment due to middle-class prosperity. Man, talk about a generation gap. Part of what drove the good-time economy was the war machine, the hippies said. See, the Vietnam War was never meant to end. And so when the war did end in the early-to-mid 1970s, tens of thousands of people lost their jobs that supported the military industrial complex, jobs like making helicopter parts and all kinds of machines needed, well, as the anti-war protesters said, for killing people.
Economically, I grew up in maybe the worst time to follow the Great Depression. Our entire nation suffered from ‘a malaise,’ as President Jimmy Carter said in a televised address. Times were so bad and getting worse every day (there were long car lines for gas and rationing based on license plate numbers) that I truly believed there would never be a good economy. Yep, doom and gloom is all I ever knew. The 1980s in many ways was the worst decade of my life even though I was in college, and it was OK to be poor in your early 20s. Jobs were scarce across the nation. Things weren’t good for people who were not wealthy or gainfully employed. During President George Bush I’s reign, I landed a clerk job at The Dallas Times Herald only to see it and all media thrive during the Persian Gulf War and by year’s end as newspapers continued folding, so did mine in December 1991. I was unemployed and on unemployment for several months and when finally employed not able to make ends meet. (Thanks Mom & Dad for the help!)
Hope springs eternal
So when Bill Clinton won the presidency in 1992, I was caught by surprise and remember saying to my roommate: “Guess everyone else must’ve been as bad off as I’ve been.” At the time a newspaper government reporter, I covered the Clinton presidency quite a bit, seeking any local angle on many of his economic and social programs.
The Clintons’ (Bill and Hillary’s) economic philosophy—don’t sit on the money; spread it around—was influenced by the New Age. One guru named Deepak Chopra advised in his many books to see money in a spiritual way instead of as strictly physical. Don’t think of money as scarce, and don’t be stingy. Chopra teaches that money has energy. We should give money to pay for our needs and as charity to help those who are disadvantaged. That’s just what the Clinton/Gore agenda did; they didn’t sit on the money (as did previous administrations). They budgeted and made sure to take care of the poor and disenfranchised.
And the strangest thing about that newfangled philosophy (one their naysayers ’dissed) was: IT WORKED! So with all his human failings, President Clinton opened the nation’s coffers and ended up balancing the budget and leaving a major surplus. This feat was unheard of, unimaginable to generations of Americans including mine. The economy kept booming. My mandatory 401k retirement fund doubled, tripled, quadrupled each quarter. Chopra teaches that the Universe (or God) is abundant supply. We should give of our money, pay our bills and do so cheerfully, realizing that what we give multiplies—as the old economic philosophy goes, a dollar spent rolls over seven times benefiting other businesses and individuals in the same community. Makes you think.
Recession was buzzed around again during the 2000 presidential election (the one Vice President Al Gore won but lost). Republican George W. Bush had to follow along with his Vice President (international oilman Dick Cheney) that our nation was in an economic downturn. HOW?!? During 2000, many major industries kept laying off tens of thousands of workers. All year long. What was up with that? The election was settled early in 2001. The major layoffs continued until 9/11 threw us into a full-blown undeniable recession with layoffs especially in the telecom field. The military was brought in full force to stop terrorism, fighting overseas in the Middle East. The war (well, two wars) was supposed to be like the Persian Gulf, a major economic boon especially to the oil business and mass media. We were supposed to be liberators, in and out. But that’s not what happened.
The economy struggled during President Bush II’s terms. Layoffs never stopped. No industry or business was safe—because we had become and remain a global economy. By the time Barack Obama was president, teachers were being laid off. What a mess. All those students weren’t going anywhere, and the lucky remaining teachers had twice as much workload. That’s when the Texas Legislature got involved and put a stop to mass teacher layoffs. But the Great Recession of 2008-2009 was pretty bad even for me, twice laid off.
Sure, recessions are drags; nobody likes ’em. But we shouldn’t fear an economic downturn. On the positive side, recessions bring lower prices because no one can afford to pay more. I recall unbelievable deals at department stores. It was like they just wanted the stuff outta the stores. Deals, deals, deals—if you have a job.
Recessions, more than the good times, are part of a bigger economic picture. We’re all in this together. The bad times teach us a lot about ourselves and each other. It’s full of job loss, lower wages, few benefits, longer work hours, family belt tightening, financial hardship, major relocation, and unforeseen challenges. Surviving recession requires grit.