Supposedly the recession ended in June 2009. Until recently I had no idea that this was the case. I was still under the impression that we were continuing to experience the recession.
However, the recession might have been over more than a year ago, but that doesn’t mean the economy is suddenly “alright”. The economy is still in a very fragile state, which accounts for the appearance of a continuing recession. Unemployment is still high and consumer confidence is still pretty low, but on the other hand, recovery is slowly underway.
Many economists will say that recovery can be more painful than the recession itself, and it is looking like our economic recovery is going to be a long, arduous process, so we probably won’t see a vast noticeable improvement in the economy for a while. But the manufacturing sector has been expanding, and retail sails are slowly going up, which are both good signs that we could be on track for a slow but sure recovery.
Businesses are encouraged to continue moving forward while innovating, investing in capital for the future, and hopefully accepting more and more hires as they expand to get the economy back on track.
But the picture is more complicated. In today’s global economy, international economies are dependent on each other more than ever. Europe is still experiencing a serious debt problem that could have further ramifications for the U.S. economy (due to faltering exports). Though China’s rapid expansion can be a bit disconcerting to some of us, seeing as how China is now our #1 rival, their growth is very good for the global economy, and serves as a great place to invest. Various conditions outside of the U.S. pose various problems and solutions so it will definitely be interesting to see how things pan out.
On the upside, the modular construction industry continues to go strong, even in a weak economy, which is good indication as to where the future will lie. Allied Modular continues to report healthy profits and we are continuing to grow. Expanding industries like the modular construction and green industries will definitely help in getting the economy back on track.