US Economy Forecasts

Josh Greenberger asked:


Well, we all know what’s happening. Major corporations are folding, people are losing their jobs, houses are being foreclosed on in record numbers, people who’ve never needed public assistance now do, and our overall standard of living is declining on a daily basis.

No one knows where the bottom is, or how long a come-back will take, if that ever happens. Some of the companies who made our great, vibrant economy what it once was, either no longer exist or are in serious financial trouble.

We’ve tried just about every trick in the book; reducing interest rates, bailouts and stimulus packages. Nothing’s helped, despite the best efforts of our greatest financial analysts and wizards.

The question is: What’s really happening to our economy?

If you went to the same restaurant for years, ate great food and came out feeling fine, then, as the restaurant deteriorated you kept coming out sick after every meal, would you think your ailment stemmed from this restaurant? Of course. Would you have to be a doctor or virologist to come to this conclusion? Certainly not. All you’d need is a half a brain.

What’s the one other thing in our society that’s been deteriorating in lock step with and in almost the exact same proportions as our economy?

Ethics and morality.

Even diseases are sometimes tracked down through nothing more than logical associations. It was that initial connection between Legionnaires’ Disease and the Bellevue-Stratford Hotel in Philadelphia, for example, that eventually led to the source of Legionnaires’ Disease.

If we were to track down what’s ailing our economy in the same way scientists track down some diseases, moral and ethical decay would stick out like a soar thumb. And you don’t have to be a religious person to make this connection.

We’ve been through recessions and depressions before, but nothing like this one. Former Federal Reserve Chairman Alan Greenspan, Sunday, September 14, 2008: The depressed state of our economy is a “once in a half century, probably once in a century, type of event.”

If our moral values of yesteryear, when the economy was relatively stable, were far superior than they are today, and our moral values today, when “coincidentally” our economy is in a state of unprecedented upheaval, are at an unprecedented low, you think there might be a connection? There seems to be no other common thread.

Strangely, our predicament has an eerie resemblance to a story in the Bible — Adam and Eve getting kicked out of the Garden of Eden and their standard of living radically reduced. I’m not saying there’s a connection; that would be ridiculous. But you have to admit the resemblance is uncanny, albeit our circumstances are on a much larger scale.

What sets today’s decadence apart from that of yesteryear is that some decadent behavior today is no longer seen as wrong. In some cases, people are even proud of their decadence.

There’s probably little need to point out the areas in which morality and ethics have declined in recent years; I’m sure we can all come up with lists. But I would like to point out two areas that epitomize the problem.

Having babies out of wedlock is no longer the shame and stigma it once was. In the 1950s a movie or rock star who had a child out of wedlock created a scandal. Today, it’s announced with beaming pride. It even turns into a delightful guessing game — who’s the father? The lack of outrage by the public shows how ingrained this acceptance has become among Americans.

I understand, we live in a more enlightened age and we’re a whole lot smarter then previous generations. We certainly can’t go back to those ignorant days of yesteryear.

But if we’re so much smarter and more enlightened, how come we can’t figure our way out of the deep financial mess we’re in? This is not being facetious; this is a legitimate question. People who are smarter are usually able to figure out things that less intelligent people can’t — that’s what intelligence is. Many previous generations lived in relative comfort and luxury; we’re losing homes, jobs, nest eggs, worrying about putting food on the table, and we can’t figure out how to get out of it. Are we really smarter, or has our arrogance simply led us to blindness and stupidity?

The other glaring difference between today and years gone by is the widespread acceptance of homosexuality as just another lifestyle. What’s worse, gays have parades proclaiming how proud they are of their decadence. If you told someone only 50 years ago that this would one day be the case, they’d laugh in your face.

And the public’s attitude toward this? “Well, everyone’s got their rights.”

First, I find the public’s acquiescence to this abomination absolutely mind-boggling. Gays will have a parade anywhere they can swing it. Should you object on the basis that you don’t want your family or kids exposed to this, it’s doubtful gays would give a rat’s you know what. Gays will selfishly push their agenda on you, your family, your kids, your kids’ schools, whenever and wherever possible, regardless of how you feel about it and regardless of your right to bring up your family as you see fit. And the average American is okay with this?

This is just weakly caving in to others’ demands. If such behavior were imposed on us by a tyrant government, we’d be up in arms. But if it’s an “enlightened” perversion, that’s okay.

Gays have all the rights other citizen have. They can get jobs, start businesses, rent apartments and get (traditionally) married, like everyone else. We do not need laws to accommodate the lifestyles of people who like sleeping with the same sex, sheep or inflatable dolls. And we certainly don’t need them pushing their perversions down our throats.

The public’s acceptance of this abomination, with the often heard words, “They have their rights,” is little more than gutless, spineless passivity. We have as much right to our lifestyle as they think they have to theirs.

How would you feel about a parade through your neighborhood of fathers and daughters or mothers and sons who are proud that they live together as couples? Probably not very supportive.

How about if they were all consenting adults, didn’t hurt anyone, were so happy together, and just wanted to bring up a normal, loving family together? You’ve got to admit, these are some pretty noble intentions. To most Americans, though, this probably wouldn’t make much of a difference.

Aren’t we just a bunch of intolerant bigots and hatemongers — we have so much hatred and intolerance for fathers, mothers, sons and daughters?

Could this be an issue of morality? Well, what’s morality?

That’s a good question: what is morality, anyway? What makes one thing immoral and another thing, like washing dishes, for example, not immoral. After all, incest — among consenting adults, of course — has the potential of bringing blissful happiness to some family members. Washing dishes, on the other hand, only goes so far in bringing happiness to another family member. So shouldn’t incest be more moral than washing dishes?

The answer is that morality has nothing to do with what makes you happy or how noble your intentions are. Morality was not invented by humans. Morality has no other origin but the Bible. Accepting any traditionally immoral act as “moral” essentially does away with the entire system of morality, since there is no discernable difference between their underlying principles.

Homosexuality has always been around. But what makes it so galling today is that what has been traditionally considered an abomination has turned into an acceptable lifestyle, and supporting it has turned into a “noble” cause. How perverted has our society become?

In light of what we consider acceptable today, it makes one wonder how Sodom and Gomorrah got such a bad wrap.

Of course, you’ll always find people who don’t believe in this Biblical stuff. But what surprises me is how many people do believe in God yet never entertain the thought that what they do — in terms of right and wrong — has a direct impact on the events in their lives. God is not part of our democracy; He didn’t ask you if you want to be born, He won’t ask you when it’s time to go, and He obviously didn’t ask anyone when it was time to bring prosperity levels down a few notches.

A correlation between the decline of ethics and morality and the collapse of our economy is hard to deny. Sure you can attribute our economic problems to corporate or governmental mismanagement and go into the intimate details of what mistakes CEOs or officials made. You didn’t expect God to come down with a bunch of angel/accountants to throw things out of kilter, did you? The way it unfolded is the way it happens.

A belief in God and the basic tenets of the Bible alone do not make for a religion. We don’t have to worry that having laws based on Biblical values will make for a “government-sponsored religion.” Using time-tested principles to lay down the foundation for a society is as practical as collecting taxes.

Societies that frown upon Biblical values, like Communist states, for example, will usually allow themselves to perpetrate gross human rights violations, in many cases killing people with little more concern then killing animals.

On the other hand, when the Bible’s tenets are perverted, you can wind up with “religions” that condone murder. Neither the Ten Commandments nor the Old Testament (the root of most major religions) sanctions murder.

The seeds for our current decline were planted as far back as 1962, when the U.S. Supreme Court ruled that the Union Free School District No. 9 in Hyde Park, New York, had violated the First Amendment by directing the Districts’ principles to cause the following prayer to be said aloud in class: “Almighty God, we acknowledge our dependence upon Thee, and we beg Thy blessings upon us, our parents, our teachers and our Country.”

Isn’t it ironic that things have gotten so bad today that it seems as if the only one who can help us is God? It’s almost as if God is talking to us. Maybe we’re just not listening.

The way I see it, we have the choice of fighting either one of two battles. We can fight the battle to save our economy, which we’re already fighting, in futility. Or we can fight the battle to restore previous levels of ethics, morality and integrity. The difference is, if we win the latter, we win both battles; there’s a scriptural axiom: Do God’s will, and He will do yours.

Jason Allen Miller asked:


and Answers

Q- How bad will this economy get?

A- This downfall of the economy has really just started; in the near future you will see more local and national businesses shutting their doors, contributing the cause to many factors.  Some factors may include:  (1) gas prices - which hurt many services business cutting their normal profits in half or more while forcing them to pass on some of the fuel increases to the consumers (2) unemployment  - which causes people to save instead of spend, hurting more businesses and leads to more people without jobs and tons of bills to pay.

Do not be fooled by the government bailouts, they are doing the same thing most people do right before they claim bankruptcy - using credit card debt to pay off your bill debt.  I do not know about you, but when a government is taking on billions of dollars in debt to bail out the economy, we all need to be greatly concerned.  This means the average person probably will not be clicking their ruby slippers together while repeatedly asking to be sent home; because in reality their not sleeping, but wide awake and living a nightmare.

Q- If I loose my job, how will I pay my bills while I am trying to get hired somewhere else?

A- When someone is asking me this question, I really know that they are in a bad predicament.  This situation happens to be the single biggest reason why people have had financial problems and had to rely on bankruptcy (leaving hundreds of thousands of families without their homes, cars and basic amenities).

So to answer your question, yes you will loose everything if you can not figure out how to replace your income in a timely fashion.  No matter how far up on the feeding chain you are; if you have no income - eventually you will not be able to pay your bills.  It is very unlikely that you will find another job that will pay you in the same respect; other companies are much like the one you where fired from, and are trying to downsize their business as well.  

However, for those who have a secondary income or a full-time income that is not linked directly to our local economy or a job that they will not lose; those people will fair just fine.  You should take a look and find yourself a secondary income or home-based business that you can build before it is your turn to get downsized.  At this moment working a few extra hours every week to build a second income is not an option; it is a financial decision that could cost you everything.  I suggest that you begin as soon as you are finished reading this article.  To start, go out and find as much education on how to make yourself an extra income before time runs out.

We are living in desperate times, and those who have had their head in the sand trying to ignore what is going on will be the ones who are without food, shelter, transportation, proper education, income, health care, etc.  It is best to get going now before it is too late.  

By Jason Allen Miller

http://www.jallenmiller.com/find  

Scott Siegel asked:


There is some very bad advice out there in regards to increasing your fuel economy. I recently saw an article from the Washington Post. It talked about a driving strategy called hypermiling. While some of the tips presented were useful and legitimate ways to save gas, such as being gentle on the gas pedal, others were just plain dangerous.

The post described this particular fuel saving methodology as hypermiling. It described hypermilers as people who modify their driving to improve mileage and reduce emissions. That can describe many concerned motorists interested in saving gas and the environment. The difference between hypermilers and normal concerned drivers is that hypermilers are fanatics.

It seems that any activity pushed to what one would consider fanaticism is dangerous and this is no different. Some of the techniques suggested by hypermilers can put you the driver and your passengers in great peril.

For example here is one piece of advice offered by some hypermilers: TURN OFF YOUR CAR AND COAST. This behavior is likened to hybrids that shut the gas engine off when the car is sitting still. But with hybrids, the electric motor is how the vehicle starts and runs at slow speeds so the car is not really off, just running on a different system.

When you turn a conventional car off, the first thing that happens is your steering wheel locks. You have absolutely no control of the car at that point. The second thing is there is no power to the vehicle. Not only can you not steer but you can’t power the car if you need to accelerate quickly if an emergency situation should arise.

Additionally the power assisted brake system shuts down. In order to stop the car you have to literally put your brake foot through the floor board. Again an extremely dangerous position to put you, your passengers and other motorists in.

Advice like this is irresponsible and can end up causing someone harm. Another suggestion by Some hypermilers is to over-inflate your tires. Again another dangerous suggestion. Over inflating your tires causes less tread to be in contact with the road. The control of your car is purely through the contact your tires have with the road. If you compromise that, you compromise your control and safety.

Additionally if you over inflate your tires they will wear faster. That means you will loose tread and ultimately loose more traction. Watching your tire pressure is good advice. Keeping them at the proper inflation does save gas. Over inflating is a safety hazard.

The basic premise of hypermilers is good. Relearning how to drive in a responsible manner with fuel economy in mind is the best way to save gas. While much of their advice can be called mainstream, such as slowing down, their fanaticism adds too much of a degree of danger. Common sense driving, learning the correct way to drive fuel efficiently, is the best way to save gas. After all, the best fuel saving device is you, the driver.

Arjen Bootsma asked:


With the rising cost of gas prices and no end in sight everyone wants to save as much money at the gas pump as they possibly can.

Do you remember when you could fill your tank for 10 BUCKS or less? Who do the oil companies think they’re conning?

You and I can’t control the price of gas but by following the current and up-to-date know-how of fuel economy, the tips and tricks, the truth . . .and not the old myths you can quickly and easily start saving significantly on your gas bill.

There is a lot of expert advice available which you can implement instantly so you can start saving money today. Here are some little known tips and tricks you can try out.

1. Paying for your gas the smart way

One of the ways that you can save money at the gas pump is by using a gasoline credit card. When you have a gas card you’ll be able to get 5 or 10 percent rebate back on the purchase of your gas. This can amount to as much as $75 to $300 each year. Many gasoline companies are joining up with other retailers to give you numerous savings at the gas pump.

2. Buy your gas in the morning or evening

Gasoline becomes denser in colder temperatures. Gas pumps are set to measure the volume of the fuel that you pump and not the density. This means that if you fill up your gas tank in the cooler morning temperatures, or in the colder evening hours, that you’ll be getting better gas price economy. Try to fill up your gas tank later in the evening to avoid the rush of day hours.

The next 2 tips will be surprising to you I’m sure.

3. Buy gas from a busy station

Try to buy your gas from a gas station that is consistently busy and therefore has its underground tanks filled on a regular basis. Gas stations that are slow will have gas that has been sitting in underground tanks for longer periods of time, leading to gas contamination. This contamination can mean that the gas you are purchasing is less powerful than fresh gas and will decrease your fuel economy.

4. Turn the nozzle

When you have finished filling up your gas tank try turning the nozzle of the hose a full 180 degrees. This will drain a bit more gas into your tank; in some cases up to an entire half cup that would otherwise be a bonus to the next gas customer. That half cup each time adds up to a lot over the year!

These are just some of the great ways to save on gas!

SearchPooch asked:


America, being one of the strongest economies in the world has a definite impact on the rest of the world. It has become imperative to analyze further for a better perspective. The current scenario in the economy is flooded with increasing costs especially in the energy and business sector, leading to inflation. The other leading question pertains to the credit problems of the nation. The outlook of the economy will depend on these two views with strong impacts on the public.

Recession is when there is a contraction GDP for two consecutive quarters. According to the CIA-one of the trusted fact books, the GDP-real growth rate is at 2%, Inflation rate is at 2.96%, Unemployment rate at 4.6%. Over the last few months, the dollar is weak, the consumer spending has slowed down and the real estate sector has taken a bad hit. The unemployment rate has risen to 6.1% in August 2008, though there has been a marginal increase in the rate of the economy to 3.3. %, the productivity rate is strong at 3.4 %. With the Feds fiddling with the interest rates over the last year, their oversight in regulations has led to mortgage meltdown and banks like Lehman Brothers, Merrill Lynch, AIG; along with the rest of the economy is facing a financial crisis. The system seems to have fallen into a habit of privatizing the gains (in the name of executive compensation) and socializing the losses and further, plummeting the economy of the nation.

The government has issued a rescue plan - Emergency Economic Stabilization Act, 2008 to meet the above mentioned challenges in American Economy.

Energy Issues - Lifting the ban on off-shore exploration, funding on research for alternatives and tax benefits for energy sources like wind, solar, bio mass Housing Sector - Refinance into affordable mortgages and HOPE NOW for preventing foreclosure Temporary expansion of Federal Insurance for bank and credit union deposits from $100,000 to $250,000. This will reduce the fear of an investor to a larger extent Extending key tax credits thus providing more certainty in the tax code Aggressive job creation to reduce unemployment Prevent failed executives from receiving massive bonus or windfall from tax-payers money. Approving pending free trade agreements with Colombia, Panama and South Korea for an increase in exports Pass the rescue bill of $700 billion to rebuild capital of the banks, which will increase liquidity and promote businesses

Will this work?

This is the biggest question of all times.

There seem to be hope in certain situations like a safer investment plan up-to

$ 250,000 as cash deposit, 2 million Americans have found an answer to their mortgage problems, and, a reduction in abusive practices in the stock market. The rest remains to be seen as it is compounded by risk, anxiety and uncertainty.

It has become mandatory for the average American to keep a hawk’s eye on the economy and act accordingly, to minimize personal risks and protect from a cash-crash. But, hope lies in the hearts, with the world coming together to support America in its difficult times.

Vladimir Gonzalez asked:


UK Economy

The United Kingdom has the largest economy in Europe. Out of the four constituent countries of the United Kingdom, England, Northern Ireland, Wales and Scotland, the first is the largest economy. England is highly industrialized. It produces and exports textiles, automobiles, aircraft, locomotives and chemical products.

The manufacturing sector is an important sector for the UK’s economy. He West Midlands employ 18 per cent oh the employees in manufacturing. Another region with a large number of people working in manufacture ( 18 per cent) is East Midlands. The lowest number is in London: 6 per cent. The Organisation for Economic Co-operation and Development states that manufacturing output has grown since the half of the 20th century, both in production and in value.

The biggest financial center in the world is in London, overtaking Hong Kong, New York city and Singapore. Its financial services are split between two districts: the Docklands, around Canary Wharf, and ‘The City’, meaning London. Here, there are the London Metal Exchange, the Lloyds of London, the Bank of England and the London Stock Exchange. The London Metal Exchange deals with plastic futures and base metal while the London Stock Exchange deals with share and bonds. There are more than five hundred banks which have offices in Docklands and the City.

The United Kingdom’s export business in financial service is expanding. This expansion was caused by light regulation and highly skilled work force. The Confederation of British Industry (CBI) helps create and maintain prosperous conditions for the businesses in the United Kingdom. It works with international legislators, policymakers and with the UK government.

The confederation members receive a variety of services and products at a discounted rate. CBI launched a survey in 1998. Since then, business volumes and companies of professional services like marketing, consulting, computing, accountancy and legal services fell at a sharp rate. The chief economic adviser of the Confederation of British Industry, Ian McCafferty, says that profitability in the service sector is “clearly under pressure”. This pressure has spread to the sector of professional and business services, affecting areas like legal services and marketing.

Recently, the Hurricane Gustav disaster caused the United States energy production in the Gulf of Mexico to be suspended, resulting in a rise in oil prices. Iran, the second largest oil producer in the Organization of the Petroleum Exporting Countries ( OPEC ), said that $100 a barrel was the lowest price it accepts for crude oil.

Further reading on EconomyWatch.com:

Economic Structure of UK

Imports and Exports of UK

Economic Indicators of UK

Unknown asked:


I caught the tail end of the Dave Ramsey Show on the radio yesterday and he was obviously discussing the economy but the part I tuned in on was when he told his listeners that if they want to help the economy, the best way is to “PRAY”  PRAY for the Media”  and  “PRAY for those stock holders and politicians” because they are operating 100% out of FEAR!  Like I said,  I did not tune in to the entire show but I have a feeling I didn’t need to.  He was dead on.

In my opinion, the real “crisis” (one of the favorite words most over used by our media), is the way that journalists, reporters, broadcasters, etc are allowed to perpetuate panic and perhaps even cause panic in our society.  The coverage of the economic conditions has been just down right disgusting, irresponsible, and could be considered a form of psychological terrorism (if there is such a thing).  They are allowed to speculate and editorialize to the point that instills such fear in people and create a global panic.  The terrorism part may sound harsh but here is why I call it that:  As a whole, people generally trust the media.  They are seen as the source for information and facts about the world around us, but they abuse this responsibility and privilege.  I read an interesting article yesterday about how a “Herd mentality rules in financial crisis” The theory on this, or I should say the study showed that “people are wired to follow the crowed when times are uncertain” The experiments they did substantiated findings that "When people are presented with a situation where they don’t have information or the information is ambiguous, we see activation of the amygdala and insula," And people begin to doubt their own judgment.  Our brains are wired to accept a group opinion.  One of the persons interviewed in this also cited that a heard mentality is an overreaction.  (read more on that here:

http://news.yahoo.com/s/nm/20080930/lf_nm_life/us_financial_psychology;_ylt=AsgYyWl39s1fnvO1Ko7Y9pwDW7oF.

But the media is very good at creating situations that form heard mentalities.  Then they write more stories that feed off the newly formed heard mentalities and it just spirals out of control form there.  That is why I use the word terrorism. It is a deliberate thing they do and it is strictly for their own self interest and not in the interest of our economy OR our country!  Not to mention the fact that the same damn articles are being written over and over again. How many versions of  “ How much is $700 billion” are out there now or, “American’s are not buying the bailout”  First of all, the word “bailout” was a media created word or lets call it a media-crity. (that’s my word).   The Gov’t isn’t necessarily BAILING out Wall Street or Banks, etc…they are INVESTING, in order to keep people in jobs, and retirements funds from depleting and keep “rich people” in business so that all the other Americans can continue to have jobs!  Now, it’s not the average American’s fault that they do not realize this or that they only see certain aspects of it. It is the MEDIA’S fault!  They know exactly who to appeal to when they subtly try to make points that they feel will fire up people or instill fear and panic.

And of course, we react because we believe them!  After all, we trust them. They are supposed to be our “most trusted source for news”  

Our constitution allows and prides itself on free speech. However, just as slander and defamation are not tollerated, why should irresponsible reporting be allowed?  It’s one thing in day to day conversations with people to speak your mind and speak of your fears, etc. but it’s another when it is your profession and you have a responsibility to a NATION!  I think that if these CEO’s of these failed banks are being held accountable for the “crisis”, shouldn’t the media??

The thing to remember is that we were not put on this planet to follow the heard or make decisions souly based on what broadcasters, economists, politicians, or journalists think. No matter what they say…people will STILL continue to make money and there will STILL always be jobs and money circulating in the economy.  You should not be ruled by fear as these people are perpetuating. Remember…THEY have jobs too and very high profile ones at that, so don’t you think they will do whatever they can to stand out from the last article or last commentator? Apparently they will, and at the expense of a nation!

Stephanie Chandler asked:


In a time with so much economic uncertainly, consumers are on the hunt for bargains. And consumers aren’t the only ones tightening up their belts; businesses large and small are scrutinizing purchases more than ever.

Whether your company sells to consumers or business, creative promotion strategies can give sales a much-needed boost to revenues in a difficult economy. To generate ideas, take a look at the big retailers. While the economy is slow, the big box stores are pulling out all the stops to bring customers in the door (and to their websites).

Following is a list of promotion strategies from the real world. Use these to inspire ideas for generating creative promotions for your business. Though many of these are used in retail sales, they can easily be replicated for all kinds of businesses.

Gift with Purchase

One local furniture store frequently gives away substantial gifts with purchase. For example, buy a bedroom set and get a flat screen T.V. or a gas barbecue. The cost of the bonus item can be subsidized by partnering with the maker of the give-away (they offer it at cost in exchange for publicity).

Falling Prices

Many retailers are trimming prices across the board and using the opportunity to advertise: “Check out our new lower prices!” You can bet that they will raise prices again later when the economy begins its recovery, but in the meantime, it gives them an edge over their competition.

A New Spin on the BOGO Offer

The Buy One, Get One offer is a perennial favorite and one retailer found a way to inspire higher-dollar purchases. At the time of this writing, Costco is selling five $20 Starbucks gift cards (a $100 value) for $80. Since coffee is a luxury item that can be sacrificed when consumers tighten up their budgets, offering a discount provides a boost to both Costco and Starbucks.

Deep Discounts on Clearance Items

Instead of the typical 20% to 40% discount on end-of-season merchandise, sales racks at stores are boasting discounts as high as 75%. Some even offer an extra 10% off if you use, or apply for, a store credit card. What retailers lose in deeper discounts they make up for in sales volume.

Group Discounts

Many businesses offer special discounts to groups such as seniors, teachers, students, corporations, members of trade associations and non-profits. Whether offering a percentage off on a certain day of the week or year-round, this strategy can provide a great incentive for buyers. As an added bonus, organizations that receive these discounts will often promote the offer to their members.

The Loss-Leader

A loss-leader is a deep discount on a product sold below cost (at a loss) in order to get people in the door (so they will spend money on other purchases). Grocery stores are famous for offering popular items like soda at ridiculously low prices. Recently, the California Lottery held a promotion that caused a traffic jam in one Northern California city. When customers purchased $10 in lottery tickets, they received $50 in gasoline. Not only did this promotion prompt a huge spike in lotto sales, it was so popular that it ended up getting air time on the evening news.

Discounted Gift Certificates

Retailers love gift certificates because they generate cash flow and a high percentage of them never get redeemed. One local hair salon sold gift cards valued at $50 for just $25 and marketed them to the business community. They sold dozens of cards to business owners and sales people who gave them away as gifts for their clients. As a result, the majority of the cards were distributed to potential new clients.

Gift Certificates with a Bonus

A popular holiday promotion that many restaurants and retailers employ is to offer a bonus with gift certificate purchase. For example, for every $50 in gift certificates purchased, get a special $10 gift card. Typically the bonus is valid only in the following month, giving the buyer incentive to return and make yet another purchase.

Free Stuff

To get new customers in the door, one local computer shop offers complimentary health check-ups on computers. While customers wait, they have the opportunity to shop for add-on products and services. In a similar promotion, a local pool company offers six months of pool cleaning services with any new pool installation. After servicing the pools for several months, the company will likely land contracts for continued pool maintenance services from satisfied clients, thus trumping the competition.

Web-Only Discounts

Smart retailers collect e-mail addresses and send out regular promotions to subscribers. For example, save 25% when you shop online before Friday!

Events: Register with a Friend

A great way to fill seats at events is to offer a discount when you purchase two tickets. For example, if registration costs $100 each, sell two for $150.

Remember, the point here is to find creative new ways to promote your products and services. In a difficult economy, price becomes an important factor when making purchasing decisions. In order to thrive in a marketplace that is becoming increasingly competitive, we must all learn to think outside the box to keep the sales wheels turning.

C. Hand asked:


By Dr. Richard Bayer

It’s no big secret: The economy stinks, the stock market is struggling, and businesses everywhere are taking drastic cost-cutting measures just to keep their doors open. And if you are one of the “costs” that have recently been cut—or if you just see the handwriting on the wall—you’re feeling America’s financial crisis in a very painful and personal way. It’s tempting to crawl under the covers and hide out until the crisis is over, but you simply don’t have that luxury. You’d better get busy preparing and executing your own layoff recovery plan.

            No one enjoys looking for a job, even in the best of times—which these clearly aren’t. It’s a process fraught with stress, rejection, and a lot of tedious leg work. But with a smart strategy for handling your finances, managing your time, and executing your search, you can turn what could be a full-on disaster into merely a bump in the road.       Approach the time immediately after you’ve been laid off with the same sense of purpose you felt with your job. Resist the urge to think of unemployment as the end of the world, no matter how upsetting it may be. Think of it, instead, as an opportunity to improve yourself and to make a fresh start. You can end up better off than you were before you got the ax.

The fundamental rules for surviving your job loss are simpler than you think. Read on for some tips to help you survive—and thrive—after the proverbial pink slip has been laid on your desk:

Negotiate the best possible severance package. (Hint: Don’t automatically go for the cash!) There are two keys to getting the best possible severance package. First, whether it’s the cash settlement or career coaching benefits, negotiate each item individually. This will give you more leverage. Second, decide what you want out of a severance package, without regard for the company’s policy. Many employees simply don’t know what they can ask for in their severance talks, but it pays to research this issue and give it some careful thought.

When you approach the severance issue, think of what will truly benefit you in the long term. Health insurance, for example, costs the company less than it would cost you. You can also ask for one year of career coaching and the right to select the coaching service. People often underestimate how much time it will take them to find a new job, so they accept cash for the entire settlement. The reality is the time in between jobs can be far less worrisome when your health insurance is covered and you have career coaching to help you stay positive and find a great new job. Cash may ease the pain in the short term, but it’s these other benefits that will set you up the best if you are searching for a job for a long period of time.

Don’t take it personally. Lay offs are usually the result of budget cuts and lack of business—and not a direct result of poor performance. Remember that lots of good people get downsized, and in today’s economy it’s happening more than ever. If you are the company’s most recent hire, or if your department is being cut out all together, your position can be in jeopardy regardless of how well you’ve done your job. But perhaps the most important thing to remember is that you’re being laid off because your employer is having trouble in a tough economy—which doesn’t mean that you can’t still be a valuable employee to someone else.

Seventy-eight percent of the unemployed people who belong to The Five O’Clock Club get a job whose salary is equal to or more than their previous pay. And while it’s not always possible to achieve that in our current tight economy, there are still plenty of companies that are in desperate need of quality employees. We stress this fact at The Five O’Clock Club. Remember that there is something else out there for you, and chances are, it’s a great opportunity that will improve your future.

Live as though finding a new job is your job. If you are used to showing up at the office from nine to five every day, it can be daunting to suddenly have hours of unscheduled time on your hands. You need to find a way to maintain the structure in your life and to keep some sort of day-to-day routine. A great way to do this is by using your old work hours to focus on your job search. Use that time to join trade organizations, schedule interviews, and network as much as possible.

At The Five O’Clock Club, we recommend that an unemployed person spend at least 40 hours a week on his or her search. If you do this, you’ll find that you have less time to lament your recent lay off and less time to sink into the negative thought patterns that are associated with it. Once your search pays off, you’ll be glad you quickly hunkered down and devoted so much time to finding a new job that’s right for you.

Manage your money responsibly. Whether you receive severance pay or not, the way you manage your money immediately after being laid off will determine your worry level during the foreseeable future. If a cash settlement is part of your severance package, you might be tempted to maintain your current living status while you search for a new job. However, that money can disappear quickly, especially if you are left to pay for your own benefits. Most people assume that they will find a new job within 30 days of their job loss and are surprised that it can actually take much longer. Create a budget so that you can see how long you can live off of your severance pay. To make your severance money last as long as possible, cut back on any unnecessary living expenses for the time being and get started on your search sooner rather than later.

If you didn’t receive any severance money, you’ll also want to create a post-job budget as soon as possible. Take a look at how much money you have, which bills are coming due, and what expenses you won’t be able to cut. Make sure you can pay your critical bills—mortgage, car payment, insurance—and don’t spend money on anything extra. You may have to cancel an upcoming vacation or get rid of your cable TV, but you will be glad in six month’s time that you didn’t rack up credit card debt and that your savings is still intact.

Expand your search. Just because you worked for a large corporation in a large city doesn’t mean that’s the only type of job you are qualified to do. If you are searching only in Los Angeles, for example, think of looking outside the city or even in a different state. Or if you are looking only at large public corporations, consider small or private companies.

Your personal talents can lend themselves to a variety of different job titles. You just have to be open to them. Searching for a job outside your comfort zone can sometimes open you up to some great unexpected opportunities.

Be picky. If the bills keep rolling in and your paychecks have long since stopped, it can be easy to panic and take the first job that’s offered. Don’t leap into the wrong job. It’s important that you take your time, keep your cool, and ultimately make the right decision for you.

If money is low, get an interim job. It may not be something you would want to do in the long term, but it will provide you with a steady paycheck during your job search. That way you’ll have money coming in and you will be free to keep searching until you’ve found the right job for you. Taking the wrong job and ending up being miserable could cause a string of job hops that will cost you valuable time and effort.

Start your own business. While it may not be feasible for you to start your own small business from the ground up—complete with angel investors and expensive staff members—it may be just the time for you to put your talents to work as a freelancer. Are you a prolific writer or a graphics guru? Use your business savvy to start freelancing while you’re searching for a new job. It can provide a cushion of income in between jobs and maybe even continue to supplement you once you’ve landed a new gig.

Even better, the business in the meantime will keep your skills sharp and provide great references for your résumé. And doing work in between jobs can show a potential employer that you are motivated and that your skills are desirable.

Now, more than ever, is when being proactive counts the most. We live in an economy where there are fewer jobs and more people looking for them, and the competition is tough. This is just the reality. And as hard as it may seem at the time, the more objective that you can be about your job loss, the better the end result you will create for yourself. Don’t let losing your job define who you are; let the way you handle it define who you will be.

# # #

About the Book:

The Good Person Guidebook: Transforming Your Personal Life (Five O’Clock Books, 2008, ISBN: 978-0-944054-16-1, $14.95) is available at www.amazon.com.

For more information, please visit www.fiveoclockclub.com.

J.J. Jackson asked:


Have you heard? The economy sucks. Maybe you have read about it in the newspaper, on various internet sites or even heard about it on the evening news or the radio. That is, if you can even afford to pay for newspapers, internet access or electricity to power your television without giving up important things like providing dinner for your children who are now relegated to wearing burlap sacks once filled with potatoes.

The country is in the dumper. Wages are down. People are worried about losing their jobs. Did I miss any of the big talking points? I know there are a lot more where those came from and I could fill the page with them. However, that would be a pointless exercise.

Think about those claims I mentioned above. We are inundated every day with these stories of doom and gloom and about how America is going to Hell in a hand basket. Now maybe, just maybe, if you only listened to the stories about how bad it is out there you might be determined to believe that a recession or even a depression is on the way even though we have not even met the standards of a recession yet. Or maybe you are one of those who have rewritten the truth to actually believe we are in one now?

Well ask yourself this, if everything sucks so bad, the economy is in shambles and we on the verge of (or even in) a recession then how is it that people are just blowing their cash on extremely frivolous things? Things like, oh I don’t know, going to Disney theme parks?

Yes, you heard right. In this time of such dire circumstances attendance at Disney’s parks in the United States is up 5% and revenues are up even higher - 11% give or take. In other words, not only are more people going to Disney’s parks, but they are spending more money there too.

Hmm. Interesting. Is spending lots of money on leisure something you often do as the first thing when you fear a potential economic problem? I know that there are people out there that spend money they don’t have (see the sub-prime housing fiasco for example) but I am talking to you, an intelligent human being and not some schlub who would not know how to save a dollar if their life depended on it.

As a country we are supposed to be suffering economically. We are supposed to be worried about losing our jobs and wondering if our paycheck will be handed to us twice a month on schedule and actively questioning where our next meal will be coming from. We are told that our neighbors are suffering and that they are not able to afford simple things like clothes for their children without tightening their belts beyond the last available notch. If they can even still afford a belt that is.

This is what we are told by certain people. But our eyes are drawn back to the news about Disney almost with eager interest to make these reports square with what we have been told. Maybe we are supposed to believe that people are just going out for one last fling before reality sets in, the bubble bursts and the soup lines that will stretch for blocks are formed. Maybe we are supposed to believe that these poor, deluded souls simply don’t see the impending disaster that they are told day after day is coming.

After all, things cannot be going that well. The reports and the pundits tell us otherwise. They say that it is all but over – pack up the bags and last one out please turn off the lights. We will all be panhandling for spare change before it is all said and done.

But yet we still have questions as to why Disney is doing so well and showing growth. It does not make much sense. And then it dawns on us. People can tell us anything. They can say anything they want. But just because the words are spoken doesn’t make them truthful.

I could tell you that there is an elephant under my hat or that the sky is really hot pink and not blue or that the grass is purple and not green. But you can simply look and see that such claims are not true.

The same thing is currently happening with the economy.

Now, that is not to deny that there are pockets of trouble, sectors that are struggling for various reason and that there won’t be recessions, depressions or just otherwise hard times to come. They happen. There are good times and there are bad times. And sometimes something so catastrophic happens (like say a government induced housing bubble bursting) that bad times, or at least troubled times, are unavoidable.

No one can stop them no matter how much they promise. Not even politicians promising hope and change or more government control of our lives and the economy.

But the next time someone tells you how bad it is in America and asks what you are going to do next, just smile. Then respond. “Why, I’m going to Disney World!” Just like the rest of America apparently.