market volatility

the recent news surrounding the economy has been rather gloom. while i am personally unaffected, my future definitely does. US has been going through a tough time. economy is not growing, unemployment is worsening. hmmm... what does it have on the land down under. probably the share market. with the intense globalisation spreading, it is inevitable when the spillover affects the investors from other countries.

the new jobs in US during the month of august is apparently zero. what does this say? recalling back what my economics teacher tell me, this means people have no jobs, no income then no spending. when no spending is circulated in the economy then business loses confidence in addition to the lost of consumer confidence due to unemployment. sad, sad. i think no other economist will be able to save US other than US citizen themselves. even one business magazine has sarcastically "suan siao" itu ben bernanke who is a lecturer teaching in university of melbourne for not providing a solution since he has always been the whiz economic kid who people turn to for economics solution. it is the very basic economy that is bringing them down.

what more can you say when your manufacturing production is sent offshore. your people have no jobs. without jobs, how do you expect people to earn money. while it is true that US citizen holds the high end jobs that requires high skill and knowledge, not everyone is that highly skilled you know. besides, only the richer investors who get richer by sending production offshore (i know, the world is unfair. only the rich b******s get richer).

the short term economy package is as the name says, for short term only. the issue is how to get economy package when US is already laden with so much debts that one Malaysian blogger has stated if the $100 US notes are arranged according to the amount of debts US owed to other nations, it can be built up to the moon. i wonder it is spoken figuratively or metaphorically. who cares, the thing is, it is a lot.

i believe the nation need to work hard. period. they have enjoyed much prosperity over the years that i think the nation has forgotten the basics. in order to buy something one has to work for it. as simple as that. even a small child will know. as for the offshore production thingy, that is a big issue. no investor in their sound minds would opt to come back and manufacture in US when cost of labour in the 'tanah besar' (as my friend, PJ say) is only a few cents.

maybe it is time for small and medium enterprises to rise up to the challenge. i have been intrigued by a friend who holds this believe firmly. she told me that she has worked for organisation who has been collecting statistics and providing help for SME as the organisation believes that SME is the one that provides people the most job and boosts the economy. i am not sure about the latter objective but i remember firmly about the former objective. SME can be brought to challenge the status quo of big company. insist on local flavour. get people to support local product like my beloved home country used to do "belilah barangan buatan malaysia". remember that. pay attention dear blog readers. if you do not support your own country, nobody will. the worst of all if you don't will be like US. offshore production but only can spend money without earning money. the rich people only care about themselves. what they care about you is YOUR MONEY. they are not going to be sorry for you losing your jobs. they will just shift the market elsewhere. if they can do it to their own country so can yours.

this is like a time bomb waiting for explosion. be prepared. times ahead is tough. hopefully the nations pay heed to the lesson "one should not overspend". i believe asians will do okay for the moment. i keep reading the next decade will be in asia. good, good. hopefully malaysia is part of smart nation that snaps up the golden opportunity. whether it is india or china, no problemo. malaysia has a variety of races that can be sent to as business diplomats to deal business. this is when racism matters. joke of the day. don't take it too harshly.

blogger feels that sometimes he is more of an economist rather than an accountant himself. the difference is accounting is so micro in the business while economy is about the masses. thinking about it, he should be studying economics all this while. who wants to be the nobody accountant when one can just go out there and talk some theories and earn loads of money.