Recession or Depression

Are all those news and demoralizing forecasts rumours or for real? Are those mere warning signs or you are already feeling the pinch?

My first taste of economy going south is during the economic downturn in Year 2001 - with 5 days of forced leave for 2 consecutive quarters followed by a 10% pay cut. Sessions after sessions of communications, we were briefed on the conditions of the downturn. Expectation changed from V (a sharp dip followed by a quick rebound) to U (a dip, short recession and an upswing) and later on to a bath tub (a dip, long recession and an upswing). I was happy that it finally recovered and everybody was enjoying life again.

This time around, I was hoping it will be a V curve with a drastic dip but seems like it was not as what we have hoped for. This round of dip has seen some of my closest friends loosing their jobs and still struggling to find one. Former US president Harry Truman said in 1958 : "It's a recession when your neighbour loses his job; it's a depression when you lose yours" We understand the situation the best when we are the one experiencing it.

To my friends out there, all the best, don't loose hope and may the force be with you!