Topic: How to stop the world recession that is soon coming. (Read 432 times)

I think that we can't stop the recession. They are parts of our economical system.
Having some funds for a rainy days will help you a lot.

Good point and alot of people believe that but on a macro economic scale that point has been made repeatedly since the 1960's I think.    Its quite a famous bet made between two scholars of the different dynamics to production vs demand in world economy with one thinking commodities would become impossibly priced from too great a population growth.   The bet was won by the scholar who forecast capacity production would expand over time, seems similar to the famous peak oil argument and go back hundred years we had peak coal but nobody is too bothered by capacity development of that vital resource of the steam engine age.   Coal is still useful, I use it often but the world development has been beyond imagination and we didnt rely on coal singularly as much ever again as we did back then.
   Have more faith in human innovation and I say that as a skeptic who thinks it will all blow up because humans also make stupid obvious mistakes but we'll recover after too, I dont agree with the major problem of people who can be productive.

https://en.wikipedia.org/wiki/Simon%E2%80%93Ehrlich_wager

I think that an ever growing strain is being put on natural resource. Including meat, crops, etc. I remember back in 1999 that the world population was 5 billion, and that felt like so much. Now it's twice as much. That's a major problem.

Education will be the best weapon but the problem lies to the people that's being involved. Even how hard the government pushes this kind of goal helping the poor to become educated, do they care and willing to learn? It's sad and happy at the same that there are still some few of them that really wants to get out of poverty and sees education as the gateway of it. And the sad part, some of them that doesn't have the same mentality.
There should be a subject inside that curriculum that tackles about financial matters, management and teaches what a recession means because until now, many still don't understand how it can affect their lives.

I don't think it is enough, and I'm assuming that we can't really stop recessions from happening because it is a global phenomena. Government can also do that much, but I'm sure sooner or later everyone will be affected and no one will be immune to a global and worsening financial situations.

On the other hand, crypto is a good option for all of us, might not be proven yet, but I'm sure we all know that we can take advantage of it and could really put our nose above those who didn't look at crypto in a positive way.

i think its instant solution , but have bigger negative effect to economy. there are better ways to make economic activity running smoothly again , such as cut rate that will make people prefer to use money for business than saving in bank. or maybe taxes incentives that usually businessman hope in many countries. and your right many countries be victim by doing wrong strategy to overcome recession.

Most items are not so easily fungible, tradable and worth the transportation to attempt to monitise the asset for profit.    The real easy way to stop misdirection of government expenditure is to make it a bare minimum, there is no great advantage to moving cans of beans from one part of the world to another and also trying to stay out of jail while doing so.    Its just not the worth the bother, if government starts to give away free fuel then yes corruption is likely and can become widespread creating false markets, a snowball effect.

People have a simple right to basic opportunities to better themselves, not gifts to any great extent.

Printing more money is going to be a short term solution. You don't know how badly it is going to affect the whole economy in the long run. Think about the inflation that will take place. A government can't just print money whenever they want. Printing money would cause the supply of money to be very high, thus reducing the value of the fiat currency. Look what happened to Zimbabwe and Venezuela because of them printing money recklessly.

Job specialization is a bitch. So much of the workforce is composed of all manner of paper pushers, professional wordsmiths, and unskilled laborers. We now have a society where people have no idea how to be self sufficient. That encourages the status quo.


Who owns everything? Productive land, food production, energy production, and so on. If it's (private sector) corporations who own it all, people will still obviously depend on corporations for jobs.


Interesting idea. Something worth contemplating.

Changing personal behavior is the first step, stop wasting resources (food, water, electricity, time and the list go on), we must be more efficient in what we do with minimum of resources, this way recessions can be avoided.

But governments do not want educated people that know about things like the economy and the events that are to come thanks to their mismanagement, this is why they do not really teach in schools how the economy really works and the fraud that fiat really is, so there is no way to stop the recession that is coming the only thing you can do is to protect yourself by avoiding debt as much as possible and invest in assets that will be a store of value in the future.

How would they do it? If the politicians are just mere hands of those big companies? Stocks right now is on fire, not a lit fire but fire in hell, there is just no way you could possibly get your money in it as you injected it. Recession is avoidable and preventable it is just a matter of changing the system but it seems like the government are being puppet by these wealthy people who does not even care about the poor people. As I see it now, we are not that close to the recession we can still run things to avoid it.

The current economic system is has recessions and booms as one of its vital elements. We cannot avoid either recessions or booms.

What we can do is to limit the damage/increase the resistance of people and companies.
We can try to teach people to avoid going with the hype and panicking with the heard when investing (remember dotcom bubble burst?), and diversifying their portfolios. The bigger challenge would be to make people to stop living on a loan-fuelled consumption model. Live more modest, avoid loans, instead of showing off with gadgets and holidays (yup, there are such people) start saving (maybe buy BTC with some of your savings?) so then in worst case scenario (unemployment), you have enough savings to be able to live 6 months without a job.

As well, few last recessions were fuelled in a huge part by banks themselves - giving very risky loans to people who were unable to pay them off (eg. mortgage crisis in the US) or made shady/risky investments which either caused the collapse of some banks or declaring them "too big to fail".

Anyway, many economists claim you can see the recession coming by checking industrial production and housing reports - of these go down significantly, we are close to the recession.

The short term solution for recession and the mass homelessness that has become all too common is for governments to donate state owned land towards the cultivation of food crops and housing for the homeless. While hiring volunteers to oversee and manage the operation.

On a fundamental level, negative trends associated with recession / depression are enabled due to society relying heavily upon public and private sectors providing jobs, income and other necessities.

A paradigm shift defined by more independent and self sufficient living. A lifestyle where people become less dependant on corporations for jobs or governments could be one solution to automation driven job loss. A high tech sustainable society that grows its own food, produces its own energy, fuels and maintains its own transportation and so on. Could go a long ways towards reducing reliance on public/private sectors to maintain a good standard of living. The humble origins of which could be found in off grid permaculture movements with organic crops and renewable energy generated by solar panels/wind. One step towards ending recession could represent passing laws and incentivizing a movement away from big cities towards more rural off grid living utilizing sustainable, self sufficient, frameworks.

And of course, crypto being extremely flexible and progressive. Altcoins could be designed to help fuel innovative humanitarian movements such as these.

The entire market is heating up today!! Why would you want to stop that? Just sit down and grab your pop corn and enjoy! This is the cycle we have been facing every decade, some young lad die trying to fight it, many die in 911 incident, 2008, 2020, it is life!

The trouble with status quo and the stock market being great is that people are no longer having that sort of money to support those companies profits anymore.

A company can make as much money as possible, the stock market as a whole could profit like it never profited before but that means they are getting money out of poor/middle class people into richer people and eventually those companies who sell stuff to poor/middle class people will find out that when you take their money away, they will not be capable of buying from you anymore since you took all of their money, when they stop buying from you because of this, you will not have higher shares, you will not have higher sales, you will go down with the public that you helped screw over and that is when recession happens.

that is not something small that anybody could change, even if you could find a way it could take at least a century to change things because we are talking about the fundamentals of society. things that have grown deep roots in all aspects of economy and our lives. and their corruption runs just as deep. we saw how they ruined the world economy back in 2008 and absolutely nothing has changed in the past 11 years either!
we only have bitcoin now that could give us a small way to run away from their corruption.

Recession, economic inequality, and poverty are the result of corrupt fiat money systems with banks and interest systems that only benefit some groups. We must correct the system errors that make the gap even bigger starting with minimizing the role of banks which incidentally only benefits the rich because they can utilize funds from middle and lower class customers who save money in the bank because they have collateral to get loans to banks. Start not to save at the bank and not borrow from the bank.

Start to be independent and maximize the pluses that we have. dependency is identical to exploitation. Don't let the upper classes use the middle and lower classes to benefit. Break the flow of money up, so try to make money revolve in the middle and lower classes. So that the middle and lower classes will be more prosperous. The simple action is to buy products from home industries, shop at stalls or traditional markets around us, not at supermarkets, and create products that are the counterparts of large manufacturers.

Switch to currencies with intrinsic value or have 100% collateral. So that money is not used as a speculation tool and can be calculated in real terms.

There are many ways to deal with a recession. One of them is by saving money when the economy was good and then spend it in the recession (this is Austrian if I'm not mistaken). Or by using loose government policies (Keynesian).

You might find this article interesting since it is from Friedman's point of view. https://fee.org/articles/the-great-depression-according-to-milton-friedman/

Education does not solve the problem of the poverty rate. Take, for instance, a country like Nigeria has a high level of literacy 7 out of 10 people are educated but the poverty level has not improved. Nigeria is one of the countries that has a high level of unemployment. This is the reason why I do not think investing in education can solve or reduce poverty but rather a systematic way of improving the standard of living by providing soft skills and entrepreneurship which i think can improve standard of living

Even if you invest in treasury bonds today which they said to be the lowest risk investment, it may not be safe at all when recession comes or war. If recession comes, it comes with a surprise tragedy for everyone like war or something like Covid19. Bitcoin might just save yourself when word recession comes, its all there is than listening to Mary Poppins once again.

If the economy is crumbling a government has to take actions to rectify the situation and is what governments are put in place to take care of the situation and there is nothing an individual or a private body can do about it, only thing you can do if you are so sure that about a recession coming up the only thing you need to do is to withdraw your assets in stocks and other bonds and invest in gold and it will be the only asset that could over come these situations.

There's no stopping the upcoming financial crisis especially when the guys at the top and in central banks are letting it all happen, in fact printing more paper money to dump the price. Resulting into staggering trillion of dollars of debt in real estate properties. The only way to counter this is to find alternative stores of value.

That's very make sense because education can lead people out from poverty and indirectly it will makes prosperity but invest on education cannot be done for short term because to makes people aware about knowledge it took decades to do so and if the recession getting closer i think a bit late to invest at education and as far i know some of countries will facing recession in the near future so this way isn't effective anymore and the government will more likely to thinking how to avoid inflation

Education might help in the long run (by long I mean 20+ years).
But for now its about to spread knowledge around people who already understands the basics of investments.
If 1% of US citizens invest 20$ in growing businesses for instance with recent ipo that would be a $65,4mil boost for those companies - that's good for economic in general.
But moreover if those citizens gain 10$ each from their investments and than spend it elsewhere - that's a $32,7mil boost for other services.
And that's a $98,1mil of good economical growth even tho each person doesn't feel like did something big

Recession might not be stopped but can be helped out and made not to be hard on people.
Recession is about finance and not necessarily about education for just academics but education about finance, about skill acquisition , about being financial independent because most recession affects people who are government employees as most government plans seem to fail at that time. So an independent person has a better chance of surviving and better living.

For me, the true meaning of economic stability is by the financial status of the people that are part in that society. It is the sole indication of what it means to be having a stable and great economy. The people are what builds the wholeness of a country, if the people are successful it would really affect on what would happen to the country. The government should focus on developing the lives of the people they are leading, so in return, they could be an asset of the country that would help it to developed even more.

I don't think that anything could be done to stop recession. It's well known fact that recession appears from time to time in some intervals, cycles.
Maybe you can't stop it but you can prepare yourself to diminish the consequences and to take it easier on a personal level. That is why it's always important to have some funds for a rainy days and that you invest while you can and when conditions are good.
Politicians, banks and other authorities are here to try recession acceptable on a global level.

We can talk about this problem as much as we like, but as history shows, recessions and economic growth are interconnected.
What you offer is similar to Franklin Deano Roosevelt’s plan, which, during the Great Depression, directed funds to develop infrastructure.
I would say that the plan is this: Affordable medicine + Affordable education (including higher education) + decent minimum wage.

Can't say that's wrong. We can't stop world recession, it's this cyclical beast that keeps coming for as long as all our governments are stepping in line with the same financial tune the banks want us to play. But you're right, it all begins with education and awareness, and a willingness to make that change at home in our own backyard.

I'm not looking to change the world, but I think if we all just tried to improve it with the tools we have, that's a good start. In Bitcoin terms, maybe that just means we need to use it normally with the people we know.

The stock market apparently doesn't believe in a recession yet. No crash in sight. Sentiment wise, I think the status quo might keep churning on for another year or more. My bet is both BTC and equities will continue rising into 2021.

When a real recession finally does set in, all you can really do as an individual is hedge. Get out of inflated and speculative markets and into cash, treasuries. Cash is king. That should remain true unless the major fiat currencies begin collapsing. If that happens (very small chance) then we could see value pour into gold or even BTC. Very unlikely though:


https://www.investopedia.com/articles/forex-currencies/091416/what-would-it-take-us-dollar-collapse.asp

Education is useful for making a smart society, but will not be too useful if the government cannot provide jobs or financial support for business development as well as regulations that make it easier to access loans.
The government is actually more concerned with banning something that they think is threatening rather than reviewing the benefits that can be obtained if adopting the technology, that is why economic recession is difficult to avoid and the main solution in my opinion is with the government making regulations that make it easier for people to engage in microeconomics and ease of investment.

The issue of poverty is rampant as it is multifaceted. But I don't think the issue of poverty is starting only from education. As such, it should not be confronted on that aspect as well. For example, where I can from, there are a lot of students or pupils who are going to school everyday but learning very little out of it. There are various reasons. Not least of which is that they are going to school with empty stomachs. Other reasons would include they don't have the right educational materials, they need to walk several miles to and from school, they cannot study at home due to other household chores or lack of basic conducive environment, and so on.

We can help. In fact, I consider the issue of poverty as an issue of greed. Poverty is a direct result of the decision of those who have not to give to those who do not have. That is what poverty is really all about.

I think the better question is that how many of us here have seen the previous recessions?

I'm under the impression that most of the members here are still in their very young during the last great recessions. So I was amaze by how much they really saw the incoming economic downfall and be prepared by it. Myself lost my jobs during the last recession, took me months to find one. So personally, I try to save as much as I can thru crypto, (mostly bitcoin) because I don't want to be in that situation wherein I have difficulty putting food in the table for my family.

And for the young generations here, if you're into high paying jobs right now, don't be assured that you will be safe. The best thing to do is to learn how to manage your money in the proper way, as the OP says, educate yourself, and invest your money wisely.

Edit: as far as government goes, they don't give a damn about it, they will only react when the country is on the economic turmoil. And what they do? take a loan from World Bank or IMF. Not a bright idea.

That's why we need to take care of ourself and not rely on our government.

I think this is a very reasonable idea.
I also believe that the best way to be rich during a crisis is to have your own land, your own food (grown on this land), in which case you have your own house and your own food, so if something happens you will already be provided with the necessary . In addition, everyone can do that. And when the country's population provides itself in difficult times, the state can spend the budget on improving our conditions and restoring the country's economy. I think it all starts with ourselves. Are we ready to act ourselves to avoid a crisis?

 There is really not that many ways to actually stop recession, you have to first prevent the causes the recession happens and when it is already on the way you can't stop that one but you can try to prevent the next one. No one recession is literally the exact reason of the previous one usually, so what we can do right now is just let the next one happen since it would actually be almost impossible to stop that, but we can stop the next one so we have to check how we can stop the next one.

 What we can do is make the regulations harder, when you let the regulations go and when you let taxes go, basically let the world run itself instead of government the world goes chaotic, but if you strict them very well and do not allow them to do anything bad, and punish them very very hard when you do that and if you force them some sort of insurance where if they go bankrupt, the insurance has to pay for everything of the customers back and let the bank die (so to prevent 2008 bail out, just let the banks die and save the users) that will actually fix things.
 
 So basically, make the rules harder, force banks and everyone else follow those rules, let the next recession happen, insure the big big huge companies, let them bankrupt if they have to and do not come to their "if we go bankrupt, millions will be affected" type of blackmail and just pay the people who were affected and punish the board and CEO of those companies with jail time and a lot of money, after that you will see that banks and those huge companies will not have that type of power anymore and you wouldn't have to bail them out in order to save the public.

Recession will not get stopped, but it will get mitigated by printing more money. I am more curious what will happen with next recession around 10 years from now, when there will be so much debt already.

Education is not the solution for everything, it might be the biggest problem being faced by a lot of countries but its not the only problem standing in the way of solving the poverty we are having. Let just say if the government was serious and has solved the problem with the education their country is having by making sure that every kid will have access to proper education, yes they will surely graduate but do you think their will be a lot of jobs waiting for them at the end? You see just by solving the education problem of that country will just lead to them having a large unemployment rate in the future after their unemployed graduates will build up. If we are talking about a solution about the macro economy of that country you must think about everything not only education, you must attract foreign investments, build projects through roads and infrastructure, and also encourage businesses to strive this will assure you that all people will have jobs in the future as well as a sustainable economy.

You could tackle the situation with real crypto if there isn't going to be resistance and violence.
I prefer living sustainably with nature (mixed with some modernity) in a decentralized manner. People need to reduce their dependance on central system. The current system is built in such a way that if the center is bad, everyone suffers it. Or if the center collapses, everyone collapses. Not a good thing to do when there are better alternatives that can be good for people, animals, environments etc

I can't talk for entire world because we only see  superficial problems.
Here in my country we have bad education, a huge amount of corrupt politicians and indifferent people tiring of trying to do something. So if world starts a recession we are screwed, very fragile to things that happens in US for example. There are few countries prepared to deal with a recession.
I don't think there's a way to stop the next big recession, we have big companies only surviving with loans at low rates and governments printing money out of air, so it's Impossible to avoid

If ordinary people had learned something from previous recessions, they might have taken something to prevent them in the future, but they were obviously re-electing bad politicians who are actually servants of the powerful financial institutions that rule the world. When these institutions mess up to a level they cannot get out of, they shift all their burden and debt to the people and reset the system. The only difference between ordinary people and them is that they know when is time to exit, and ordinary people are caught literally sleeping.

Do you know what it feels like to have a house, a good job and live a normal life, and one morning you wake up and you're left with nothing? And do you know that most of the wealthy are even richer after the recession?

The problem is in people who favor bad systems, ruled by bad politicians, who are actually the extended hands of the powerful people from the shadows. If people really had power, then maybe something would change - because no one normal would want something bad to happen to him.

Govenments don't care about poverty, they just pretend to.

The only way to beat problems is through a system of democratic socialism. It's porrible to turn back to something like ww2 rations and say everyone gets a limited amount of food, clothes, healthcare, transport and shelter and they can work themselves up to a higher rate (or not).

Realistically if a government did this then they'd have to limit globalism and globalisation to ensure nothing gets in and out that goes undetected by them and no one can profit from the giveaways of the government.

Such socialism may cause large issues for agriculture and enterprise initially too so a country wouldn't want to be looking to collapse on a global stage.

We already know how the economy is crumbling piece by piece . I do think it's up-to us to improve it , do you guys have any suggestions , any ideas ? to actually counter this situation ! ?

I do think everything starts with Education
If the government spends more funds in the education , educating people who are not able to afford a descent education and work towards the welfare of the country rather than investing in foreign trades and other things , just like someone said once *charity begins at home , I think they should look more closely to the situation of the people and tackle poverty by books.