Wednesday, March 01, 2006

Bubble Economy

Is the global economy a bubble? I can see where it could be deleterious to the economy for people to believe that it is a bubble. A belief that the bubble is about to burst has the potential to become a self-fulfilling prophecy.

As a business person it’s in my interest to maintain a client’s belief that their goods and services, albeit superfluous, have monetary value. As it is in my interest to convince clients that my services are necessary and have value.

If we are thinking in terms of a future recession then what is the best course of action? Try to make as much as possible in one's chosen field while it is still lucrative? Invest in oil? Learn to grow food?