Quote:
Originally Posted by SeeGeeWhy
My business needs to add 3 - 4 people (represents a 20 - 25% addition), and the ol' day job needs to add something in the range of 100 - 200% within the next year.
Perhaps some of the money folks can comment on this, but what has been happening with the various money types over the past year? It was my understanding that a lot of the value that got erased in the markets was "M3" type money - which... in my opinion, tends to be a bit of BS if the gap between M2 - M3 is too large (which is what we saw in the last few years).
It seems to me that "real" projects that represent "real" value have been managing to continue to contribute to the economy. Have there been casualties along the way? Most definitely... but I don't know if the numbers can be believed as much as the media flaunts them. The worst statistical recession since 1930 doesn't mean much when they don't talk about the disgustingly large run up in the past decade in the same breath.
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The problem with the Credit Crisis is that the disruption in credit caused banks to horde money to keep their balance sheets alive and this process caused a disruption of funding towards "real" projects that had "real" value and thus stalling that value creation. There was a time last fall/winter where you could have been a reasonably sized company with good credit ratings and still not be able to borrow or obtain financing for operations and as such had to delay expansion plans, scale back operations despite still having viable markets and customers. The mass effect of companies in that situation scaling back operations contributed to the layoffs and declining economic activity. A lot of the 'recovery' could indeed be due to companies in that situation that only now are able to get the funding they need to operate and expand.