It’s Not The Economy

Driving past the electronics store yesterday, a roadside billboard caught my eye.

“Watch the recession in high-definition.” That was how the billboard read.

My first thought was that the store manager obviously had a few leadership abilities himself. In an effort to stop his employees from becoming de-motivated by the doom and gloom of the media about the current economic crisis, he injected a little levity. In doing so, he sent a strong message to his people: “we’re still open, you’re still getting paid and people are still buying big TV’s. So let’s remember that the economy isn’t an excuse for not being good at what we do.”

At the same time, he sent a very strong message to his customers. “You’re also still getting paid, the world isn’t upside-down and now is a great time to be making a major purchase with some of the best pricing ever.”

I spoke with a real estate agent today who tells me that for the month of February, real estate sales are up in Calgary and the median price per sale is also up. Some people, when the economy was on fire, got greedy and snatched up some overpriced properties in an effort to flip them for a quick profit. Research says that by the time amateur real estate speculators get involved in the market hoping to make a quick buck, the market boom is usually over. And such is the case for a few greedy-wannabes.

ATTITUDE ADJUSTMENT: Are you really any worse off this year than you were this time last year? Honestly. If you are worse off, is it the economy or your own decisions that have caused you to be worse off? If you’re about the same as last year, has the economic situation affected you directly or are you just thinking that it’s affecting you? Did you overspend your means when the economy was robust and now you have to play catch-up?

It’s time to take stock and really tell yourself the truth of whether you are any worse off today than you were yesterday. For the 92.8% of Canadians who are still working, it’s really no different today than it was this time last year. For some people though, well they made some bad decisions about their own personal finances and it got away on them.

If you overspent in past and now it has caught up with you, it’s not the fault of the economy. If you over-extended yourself in past and now you find yourself a little behind, it’s not the fault of the economy. If you got greedy when the economy was hot and perhaps thought you could buy up some real estate and flip it for a profit and now you’re stuck with it, it’s not the fault of the economy.

There is only one common-denominator in every bad job, bad financial decision, bad judgment and bad luck. That one common-denominator in every bad thing in your life is you. Change you, not the economy, and you change the results in future.

Author's Bio

Kevin Burns

Kevin Burns, Author & Attitude Adjuster, is an attitude expert in Employee Engagement, Service and Safety. Kevin believes better people offer better service, make better sales, get along better, communicate better, engage themselves better, manage better and overall, make your organization better and safer as a whole. He delivers high-energy and hilarious keynote presentations to corporate and association audiences throughout North America.

More info on Kevin's programs at kevburns.com

Stimulus Or 'Stimuless' Financial Package

It is irritating to read so much of news on the divisive definition of recession or deflation, or some other explanations that Malaysia, despite heavily trading with countries like USA, Europe, China, India, Singapore and others, is able to hold its fort in these troubling times.

“Economists say there is no risk of deflation in Malaysia despite a declining producer price index (PPI) because consumption has not fallen dramatically but only moderated while prices of food, as reflected in the consumer price index, are not coming off fast enough.”

Then, in another article, just a month after the above news that states “The Malaysian economy will most probably see a full blown recession this year given the steep deterioration in recent economic activities both locally and globally.”

We, the rakyats of Malaysia, are confused, but can we allow our Ministers to be confused and then-after be complacent with such views, depending on who said it vehemently. Malaysians, often said in the past, are gullible. Are we really that gullible, today?

After our affable Prime Minister had announced in 2008 a stimulus financial package of RM$7 billion, the rakyats then shouted that the government is not doing enough to stimulate the Malaysian economy. Obviously, at that time, our Finance Minister and his trusted assistants had refused to believe that their projected GDP growth of 5.7% will be speedily reduced to less than 1% today.

“But privately, Ministry of Finance and Economic Planning Unit officials have revised growth figures since January to between 0.5 per cent and 1.5 per cent on the back of worsening economic data from Malaysia’s main trading partners and export nations.”

A second package was quickly considered by our Deputy Prime Minister, and before he can even make the announcement, we again read the views and opinions of many others.

“The RM10 billion mini-budgets, which will be tabled in Parliament on March 10, is not enough to overcome the economic crisis affecting the country. Tengku Razaleigh Hamzah said it should be increased to RM30 billion.” He ought to know.

“The Government is capable of allocating RM35bil for the second stimulus package if it wants to, said former prime minister Tun Mahathir Mohamad. The Employees Provident Fund (EPF) alone has funds worth some RM250bil, he told reporters at a forum on the global financial crisis here yesterday.” WOW, WOW!

Then, why our government is raising money through the issuance of bonds when EPF has funds of RM250b.

“The Government is projected to issue up to RM79bil worth of sovereign bonds this year to finance its fiscal deficit and maturing debts, Maybank Investment Bank Bhd says in a recent report.”

Mind you, after this reporting on February 25, everybody has now forgotten about it. EPF then announced a dividend of 4.5%.

On March 10, the Malaysian government is set to announce its largest ever stimulus package of more than RM50 billion this afternoon. But even the administration concedes that this infusion of cash, tariff cuts, retraining grants may not be enough to stave off a recession this year.” Will these appease the rakyats of Malaysia?

“Deputy Prime Minister Datuk Seri Najib Razak announced today a RM60 billion stimulus package as he painted a gloomy picture of the Malaysian economy in the face of a global recession. The whopping sum will be spent over two years as the country faces up to the reality of falling exports and drastically lower revenue. The package, announced in Parliament today, includes RM3 billion in tax incentives, and will see RM10 billion of equity investments and RM15 billion in fiscal injections, as well as RM25 billion guaranteed funds.”

Malaysians, including the politicians, are difficult to appease at all. “It’s not that they disagreed with the plan. Indeed, most thought it would work except that almost everyone had reservations about its implementation, or its lack thereof.” Everyone worry about leakages.

Why our government is desired to implement a RM25 billion in guaranteed funds? “This is a lifeline, particularly for the SMEs,” one corporate advisor told The Malaysian Insider.” Is this advisor aware that every time a commercial bank makes a loan, the nation’s money supply is increased? Every time a loan is paid down or paid off or not paid at all, the money supply is decreased. We should not help those useless businessmen at all.

And again, why have these RM25 billion in guaranteed funds? Is there a credit crunch? Yes, we expect liquidity crunch at the beginning, but the implementation of stimulus financial package of RM7 billion resolve this crunch. There is enough liquidity in the financial market as supported by our Deputy Prime Minister. Are banks not lending their money at all?

“The government has a huge liquidity of RM250 billion in its coffers to help local entrepreneurs cope with the current global economic crisis, Datuk Seri Najib Tun Razak said today.” WOW!

We hope that he is not talking about the EPF’s funds of RM250 billion that our ex-Prime Minister had earlier mentioned it.

Author's Bio

aGEE Lee

aGEE Lee is a training consultant who wish that our government will immediately and quickly resolve this crisis rather politicking too often. He can be contacted at agi@streamyx.com or visit his website: www.ageelee.com.