November 2009: Net Worth, Real Estate, and Blogging Income
Published 11/30/09 (Modified 3/8/11)
Time for another one of my networth updates and progress reports to check up on how well or bad I've done for myself during the preceding month. Based on my current online bank and investment account numbers, things are starting to look up since the previous month when my stock portfolio took a slight tumble due to lingering market price volatility and recessionary jitters. In terms of the American economy finally emerging from this punishing recession, we are still not quite there yet as overall consumer spending remains pervasively sluggish and unemployment rates continue to rise (albeit at slower rates of worsening than before). But based on the trickle of positive signs I've been seeing coming out of the housing industry in the way of increased new home sales spurred on by governmental tax credit incentives and historically low home mortgage rates - it would seem that we are at the very least, heading towards the right direction.
However, this is not yet the time to start high fiving or fist bumping each other, or be reveling in premature optimism. Rather, this is the time to start placing your financial bets in a strong, but calculated way in anticipation of an eventual economic recovery. There are still a large number of unforeseen factors and worldwide catastrophes that could easily derail the economic momentum train off its tracks. Because we now live in a global economy where all established and developing markets are interlinked and highly inter-dependent with one another, it's crucial to recognize that there are many worldwide factors beyond our control that still have strong sway on the economic lives of those that live in the states. Certainly we can lower interest rates all we want, issue as many economic stimulus checks as the public demands, or extend unemployment benefits for as long as jobless folks need them - but if other major countries whose high expansion rates and growth we've been counting on to boost our own economic markets are not able to successfully salvage their situations and ensure social stability among their populace, we are likely to suffer as well. Let's hope our federal government can continue to promote the natural worldwide growth of free markets, continue to adopt favorable tax rates, and not resort to protectionist agendas that serve only to stifle the efficient and orderly expansion of the world's interlinked economies.