While economists and politicians may think Fed cuts and legislation can prevent a recession, the boss men at big multinationals have already prepared for the worst.
A survey by Financial Executives International quoted in the FT shows "in the last quarter of 2007, CFOs’ economic optimism touched its lowest level since June 2004, when the survey was first carried out, and recorded a 10 per cent fall over the previous three months."
When large companies batten down hatches for a recession, it makes the downturn worse. Management cuts capex, R&D, and jobs. Wages get frozen and business travel gets locked down. Suppliers get squeezed and borrowing for long-term projects dries up. All that means that the ripples hit a lot of other businesses and consumers. Tax collections at the local and state government level fall apart.
As Humphrey Bogart said in "The Maltese Falcon" , "You’ll take it when you’re slapped and you’ll like it, too".
Douglas A. McIntyre
Credit Card Companies Are Doing Something Nuts
Credit card companies are at war. The biggest issuers are handing out free rewards and benefits to win the best customers.
It’s possible to find cards paying unlimited 1.5%, 2%, and even more today. That’s free money for qualified borrowers, and the type of thing that would be crazy to pass up. Those rewards can add up to thousands of dollars every year in free money, and include other benefits as well.
We’ve assembled some of the best credit cards for users today. Don’t miss these offers because they won’t be this good forever.
Flywheel Publishing has partnered with CardRatings for our coverage of credit card products. Flywheel Publishing and CardRatings may receive a commission from card issuers.
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