The United States’ Federal Reserve has just cut base rates by a whopping 75 basis points or 0.75 percent, indicating that it regards recession as more likely than not.
Recession now seems inevitable
Syntagma has an in-depth analysis of the upcoming recession. Here’s a taster :
As weâ€™ve been saying here in Syntagma for some months, a long, deep worldwide recession now looks more likely than not. Opinions are hardening among key players, principally in America and Britain.
Yesterday, the Wall Street Journal proclaimed : â€œU.S. warning signs point toward deep recessionâ€.
Now even the insurance companies, or Monolines, that underwrite possible defaults, are also in trouble, with two of the biggest in the U.S. said to be close to Chapter 11 status (a form of bankruptcy protection against creditors).
Clearly, with the Fed in near panic mode something nasty is moving in the undergrowth.
Ever dreamed of quitting the day job to forge a new business online? It sounds simple enough : working from the comfort of your own home, low costs and master of your own time?
But what about the complications? The technical side, for example. The long lead-ins to a sustainable income. And, of course, the intense competition for a large, but limited pot of money on the internet.
John Evans, who founded Syntagma Media — an internet content provider — has given an interview about the trials of creating an online business to Gerry Reynolds, business consultant and retail analyst.
Here’s a sneak preview :
Gerry : What are the economics of an online income stream? [...]
John : If you set no upper limits, you’re really at the mercy of events. It’s no good having a $10m business if your costs are $11m. Mr Micawber defined that problem 150 years ago.
The trick is to set an upper boundary that gives you the best split between receipts and obligations, building in the vagaries of the tax system, of course, and depending on the amount of effort you can comfortably provide. Everyone will reach a different conclusion, but it has to be within your comfort zone. You are, after all, in this for the long haul.
Read both posts here : #