Wednesday, July 9, 2008
The start of a global depression?
Economists are painting a grim picture of what's coming. It is the most complex and difficult economic crisis the world has seen in decades and possibly since the Great Depression, according to analysts. Financial turmoil, the onset of recession and decline in stock markets have hit major countries. For wage earners , it's the rising cost of food, petrol and transportation that hurt them the most. Last week, in the US, 80,000 people lost their jobs, with wages stagnating. The hardest hit sectors have been in the hospitality, construction and propery sectors. The latest news is that Siemens, the German technology group, will axe over 16,000 jobs worldwide. No matter how well our commodity stocks perform, we will not escape from this global problem. The question is how are Malaysians preparing themselves for the global effect. Can we get our act together to save jobs to continue putting food on our tables or are we going to continue with our kind of politics? We are running out of time.