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Economic uncertainty in the world

Tuesday, August 02, 2011 | En Español

I have to say that I am very concerned about the economy today, seeing that all the markets in the world fell today while the prediction was that the opposite would happen after a debt ceiling deal was reached in the United States. I didn't even have to visit Paul Krugman's blog, which I occasionally read, to get worried today. Of course, visiting his blog and seeing that he embedded a youtube video of the song "How can it feel this wrong?" didn't help. But I will try to keep the optimism, and I will continue working.

Economics is really complex, specially macroeconomics. I try to understand the concepts, with a fairly good rate of success, but it is still a very complex subject. I can't say to people "save every penny, live a frugal lifestyle and be happy" because if everyone actually did this, the economy would collapse as nobody would be buying anything. But it is difficult to resist the urge of save whatever can be saved seeing the volatility of the markets and the often misguided decisions by the policy makers in just about every country. On top of that, there is the issue of where to allocate the money so it doesn't lose its value, or more a where to invest it.


Categories: Thoughts