I tend to learn towards Tiffany Gordon’s view of the economy, which she said recently in her GNN blog that she approaches with cautious optimism.
It’s not that Tiff is being negative, which is what you can be accused of when voicing an opinion in a public forum such as GNN. She realizes the sun is shining a whole lot brighter in 2010 than in the dark days a year ago.
If you had to describe her attitude, I would call it realistic because when you’re climbing out of a hole, it’s too easy to slip right back in again, which leaves you starting all over. So going forward with a cautiously optimistic outlook seems like a good attitude to take.
The optimistic part was described by Kevin Thistle in his GNN blog last week.
The caution seems prudent considering recent events around the world and the country that seemingly have nothing to do with golf, but could have ramifications on all industries.
The European debt crisis is certainly one that affects the entire world, especially if the U.K. also becomes the next trouble spot and let’s not forget that the United States has built up considerable deficits recently.
As a result, world stock markets took a beating last week and concerns over a dampening of world economic growth began to grow with some analysts even talking another recession. On the other hand, it could just be volatility that settles in the near future, so let’s hope that’s the case.
Add to that the fact that the U.S. is slow in grinding its way out of its initial economic woes if leading economic indicators and jobless claims are any way of telling.
Here in Canada, we’ve enjoyed a faster recovery, which is great for us, but could end up being misleading considering some of the events coming down the pike in the near future.
Some have predicted that the formal introduction of the Harmonized Sales Tax in British Columbia and Ontario could knock those provinces back into recession. Higher interest rates are predicted and that could affect discretionary income as could inflation.
So do rose-coloured glasses allow us the clarity to see what’s coming?
A positive attitude is always important, but so is the caution that keeps us realistically assessing what we could possibly face in the near future.