I don’t want the recession to end, at least not yet. I’m not insensitive to those who have lost their jobs or who have seen their nest egg decimated. I know people are watching their carefully planned futures vanish in an instant. After all I have been hurt as well - my house is $100k underwater and my investments lost as much as 60% last year. Mr. M’s income has shrunk as advertising dries up. But there have also been many positive changes in our society that I don’t want to see end.
Frugality is suddenly fashionable as belt tightening becomes mandatory. Is it just a passing fad, will Americans return to their wasteful ways once the economy recovers? The longer the recession lasts the more likely that new habits will take hold forever. Look at anyone raised in the Great Depression, their frugality lasted long after WWII. The decadent consumerism that fueled our economic engine is unsustainable, I’d rather we all lived and consumed within our means without the bubbles and crashes. If our economy bounces back soon then I know there is no hope, people have short memories.
People are focusing more on family, friends and community. Troubled times always make people more aware of what is most important. New stainless steel appliances and granite countertops look nice, but don’t add to real happiness. Without money to waste, people are turning inward and relying more on their connections with others. This has to be a positive change.
Saving is suddenly sexy. The proliferation of subprime loans made people who paid their bills look like the fool. If anyone can get a loan then there is little incentive to build good credit. Now money in the bank and a solid credit score are a must to get a loan. Financial responsibility is in vogue. In the long run this will benefit us all. But again I fear this trend won’t last unless the pain is strong enough to make us never forget.
There are positive sides to this recession. It can change us into more conscious consumers and teach us the value of being financially prepared. We no longer take luxuries for granted, no longer borrow like money is an infinite well. Hopefully these lessons will stay with us long after the economy recovers.
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4 comments:
Since my home state has been a recession for a few years now, I admit, I am weary of it. However, I do see all the good things you are writing about as the silver lining.
Great post! I agree with your points. I do hope that it we've seen the worst of it already. :)
I think it depends on the person ... some people will come out of this recession with lifelong frugality, while others will just go back to their spendthrift ways. It would likely take another Great Depression to make the majority of Americans permanently change their spending habits.
Amen! I think there are some good things coming out of this recession. But I do worry that consumers are getting frugal burnout. It seems like we're hearing less and less about saving (except in the frugal blogosphere). Obviously, those who have lost their jobs are being thrifty out of necessity. But it also seems like people are buying into the idea of "bolstering" the economy through buying. Maybe I'm just too jaded. Who knows.
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