During the Great Recession, just over a decade ago, the financial systems the world depended on started to collapse. It created a panic that drove some large companies out of business (ex. Lehman Brothers) and many more into bankruptcy.
The financial crisis that accompanied the current pandemic caused hardship to certain industries and hurt many small businesses. However, it hasn’t rattled the world economy. It seems that a year later, things are slowly getting back to normal for many companies.
Why is there a drastic difference between 2008 and now?
“We changed the rules. We told banks they needed more reserves and that they could no longer underwrite toxic mortgages. It turns out that regulation — properly done — can help us navigate financial minefields.”
Here are the results of that regulation, captured in a graph depicting the number of failed banks since 2007.
What was different this time?
The post mentioned above explains:
“In 2008 the government saw the foreclosure meltdown as a top-down problem and set aside $700 billion for banks under the Troubled Asset Relief Program (TARP). Not all of the $700 billion was used, but the important point is that the government did not act with equal fervor to help flailing homeowners, millions of whom lost their homes to foreclosures and short sales.
This time around the government forcefully moved to help ordinary citizens. Working from the bottom-up, an estimated $5.3 trillion went to the public in 2020 through such mechanisms as the Paycheck Protection Program (PPP), expanded unemployment benefits, tax incentives, and help for local governments. So far this year we have the $1.9 billion American Rescue Plan with millions of $1,400 checks as well as proposals to spend trillions more on infrastructure…Bank deposits increased by nearly $2 trillion during the past year and credit card debt fell.”
Many have suffered over the past year. However, the economic toll of the current recession was nowhere near the scope of the Great Recession, and it won’t result in a housing crisis.
David Deem 714-997-3486 Dave@DeemTeam.com Whether you have moved into a brand-new house or to one that previously belonged to another family, you need to put some precautions in place. Here are several items that need your attention to keep you and your family safe. Change the locks The previous owners may have passed on spare keys to their neighbors, relatives or close friends. Even if it’s a brand-new house, the builder may have handed a key to a handyman or worker during the construction stage. To be safe, get all the locks changed and distribute spares only to those you trust. Install a security system Even in safe neighborhoods, a security system is a good precaution to take. You can decide whether you want a high-tech one with all the bells and whistles, or if you’re happy with a few cameras and security lights. Get to know your neighbors Neighbors are invaluable allies. Stop by for a chat and get to know them. They can easily keep an eye on your place but if
David Deem 714-997-3486 Dave@DeemTeam.com Every parent knows the importance of keeping their kids active. In addition to instilling a healthy lifestyle, it also makes your life a whole lot easier after they’ve spent time burning all of their energy. When the weather’s nice, it’s easy enough for the little ones to run around outside, however, that’s not always an option. For this reason, here are a few playroom ideas that can keep the kids busy all year round. Indoor Jungle Gym As they progress from crawlers to climbers, being able to hone their fine motor skills is a crucial part of their development. Fortunately, there are some wonderful children’s furniture companies that specialize in exactly this and offer high-end options for indoor jungle gyms, monkey bars, rope swings and much more. Wiwiurka is one such company that’s well worth checking out. Performance Stage For the kids aspiring to a life on Broadway, there’s nothing better than having their own little stage at home. They
David Deem 714-997-3486 Dave@DeemTeam.com No matter how careful you are, inevitably, you’re going to spill something. Whether it’s red wine on your favorite shirt, tomato sauce on your best tablecloth, or chocolate on the rug, the time will come when you’ll have to move into action fast to remove a stain from clothing or furniture. Here’s a stain-removing guide from Real Simple for some of the most common culprits you’re likely to encounter. Coffee. Stretch the coffee-stained fabric over a bowl and pour boiling water over it from about a foot above. If the coffee included milk or cream, follow up with an oil solvent. Sugar too? Pre-treat the item with a stain remover. Wine. For red wine, start by giving the stain a coating of salt. Then stretch the fabric over a bowl and pour boiling water over it from a foot above. For white wine, run cold water over the stain then spray with a solution of 1 tbsp. of clear dish soap in 10 oz. of water, and dab with an enzyme detergent. Chocolate. F